He Xiangjian: From Lid Production to Global Appliance Giant

He Xiangjian is a name that resonates with the history of modern Chinese industrialization and entrepreneurship. He is the founder of Midea Group, one of the world’s largest and most influential appliance makers. From humble beginnings, He Xiangjian built an empire that now spans across a variety of industries, including home appliances, robotics, and real estate. His journey from a small lid production workshop to leading a multinational corporation is a remarkable tale of perseverance, vision, and innovation.

Born in 1942 in the town of Beijiao in Guangdong province, He Xiangjian’s early years were marked by the social and economic challenges that plagued China during the 1950s and 1960s. He Xiangjian, like many of his contemporaries, came from modest origins and did not receive a formal higher education due to the socio-political climate in China at the time. However, his entrepreneurial spirit was evident from an early age. In 1968, He Xiangjian led a group of 23 local residents from Beijiao to establish a small workshop to produce lids for pots and pans. This was the humble beginning of what would eventually grow into one of the largest appliance manufacturers in the world, Midea Group.

The company’s early days were difficult, with limited resources and technology. The first products were simple, but He Xiangjian had a clear vision for the future of his business. The group worked hard to develop a reputation for quality, and the company’s products began to gain traction in the local market. In the 1970s and 1980s, China’s economic reforms and opening to the global market provided an opportunity for businesses like Midea to grow. Midea expanded its product range, eventually branching out into household appliances like refrigerators, air conditioners, and washing machines.

The 1990s marked a period of significant growth for Midea. With a new focus on technological innovation, the company rapidly scaled up its operations, adopting cutting-edge manufacturing techniques and modern management practices. As Midea began to expand internationally, He Xiangjian sought to position the company as a leader in global markets, offering high-quality products at competitive prices. This strategy paid off as Midea’s presence spread beyond China and into international markets, including Europe, the Middle East, and Southeast Asia. By the early 2000s, Midea was recognized as one of China’s most successful appliance manufacturers, known for its diverse range of products and its ability to integrate advanced technology into its production processes.

Under He Xiangjian’s leadership, Midea Group also made several strategic acquisitions. In 2016, Midea made a significant move by acquiring a majority stake in the German robotics firm Kuka. This acquisition allowed Midea to expand its presence in the robotics and automation sectors, enhancing its capabilities in the production of smart appliances. The deal also aligned with He Xiangjian’s vision for Midea as a tech-driven company. In 2022, Midea took Kuka private by purchasing the remaining shares and became its sole owner, further solidifying its position in the robotics and automation industry.

In 2012, after decades of leading Midea, He Xiangjian stepped down as the company’s chairman. He passed the reins to his son, He Jianfeng, who has since played an instrumental role in continuing the company’s growth and diversification. While He Xiangjian’s departure from the chairman role marked the end of an era, it did not signal the end of his involvement in the company. He remained active in the business as a major shareholder and an influential figure in the Chinese business community. His son, He Jianfeng, has continued to build upon his father’s legacy, expanding Midea’s operations and guiding it into new markets.

He Xiangjian’s success with Midea Group has made him one of the wealthiest individuals in China, with a net worth estimated to be in the billions of dollars. His wealth is largely tied to his ownership stake in Midea, which continues to perform strongly in the global market. Despite his immense wealth, He Xiangjian has maintained a relatively low profile, preferring to keep a hands-off approach to the day-to-day operations of the business while allowing his leadership team to take charge.

Apart from his role at Midea, He Xiangjian has expanded his family’s influence into the real estate sector. His son, He Jianfeng, is also a director of Midea Real Estate Holding, a company that focuses on the development and construction of residential and commercial properties in China. This diversification of interests has helped ensure that the family’s wealth is not solely dependent on Midea’s performance in the appliance industry.

The He family’s story is a reflection of the broader transformation that China has undergone over the past few decades. From a country recovering from the effects of the Cultural Revolution to becoming a global economic powerhouse, China’s rise has been accompanied by the success stories of entrepreneurs like He Xiangjian, who have played a critical role in the nation’s industrialization and modernization.

Midea Group’s ongoing success can be attributed to several factors. The company’s focus on innovation, its commitment to research and development, and its ability to adapt to changing market conditions have all contributed to its growth. Additionally, Midea has maintained a strong focus on quality, ensuring that its products meet the highest standards of performance and reliability. As the company continues to expand into new markets and new product categories, Midea’s leadership in the appliance and robotics industries is expected to remain strong.

Looking to the future, He Xiangjian’s vision for Midea Group continues to shape the company’s strategy. The company’s push into the smart home and automation sectors, including the development of connected appliances and artificial intelligence, reflects the ongoing shift towards technological integration in consumer products. As Midea moves forward, the influence of He Xiangjian and his family remains a cornerstone of its operations, ensuring that the company remains at the forefront of innovation and continues to build upon its legacy as a global leader in the appliance industry.