From OEM Manufacturing to "Factory Replication": An Interview with a Zhejiang Myhome Kitchen Co.,Ltd

For many Chinese manufacturers, international expansion traditionally means exporting finished products to overseas buyers.

But what happens when a manufacturer starts exporting not only products, but an entire manufacturing system?

We spoke with Mr Fan, from a Chinese manufacturer specialising in bakeware. After years competing in traditional export markets, the company began transforming its business around 2012–2013 by moving further upstream into the research, development and production of materials.

That shift fundamentally changed its international business model.

Today, the company says it can provide overseas partners with the technology, materials, moulds, equipment, automation and training required to establish local production — a model Mr Fan describes simply as:

"replicating a factory."

The company already has manufacturing partnerships in Cambodia and Turkey, while its materials are also supplied to factories in Europe.

We spoke with Mr Fan about moving beyond traditional OEM manufacturing, why controlling more of the supply chain creates a different competitive position, and what type of international partner is needed when the proposition is an entire production system rather than a single product.

About the Company

The company Zhejiang Myhome Kitchen Co.,Ltd is a Chinese manufacturer specialising in bakeware, with capabilities extending beyond finished-product manufacturing into material technology, moulds, equipment and automated production systems.

Its international model now includes manufacturing partnerships in Cambodia and Turkey.

According to Mr Fan, the Cambodia operation primarily serves the US market, while the Turkish operation focuses mainly on the local Turkish market.

The company also supplies its materials directly to factories in Europe.

Its core international proposition is therefore no longer limited to exporting finished bakeware. It can provide partners with the components required to establish local production using technology and materials developed through its Chinese supply chain.

Can you introduce your business and current international model?

Mr Fan: Our brand comes from China, and our main products are bakeware.

We're now also expanding our brand internationally, and we have partner factories in Cambodia and Turkey.

The production technology used by these factories, including the core technology behind the materials, comes from China and from our Chinese supply chain.

What role do the factories in Cambodia and Turkey play?

Mr Fan: They mainly manufacture locally for their respective markets or surrounding markets, and then sell directly from there.

The Cambodia factory mainly serves the US market, while the Turkey factory mainly serves the local Turkish market.

So our current model is essentially that we can replicate a factory for the customer.

We already have two successful examples.

What does "replicating a factory" actually mean?

Mr Fan: We provide the technology and help establish the production system.

Our production process is relatively simple and we've automated it as much as possible, so it doesn't require a large workforce.

We provide training as well.

We also plan the automated production setup, moulds and equipment and assemble the complete production line.

The materials required for ongoing manufacturing are then exported from China and purchased from us.

How did you develop this business model?

Mr Fan: Before we transformed the business, we were similar to traditional foreign-trade companies.

We were competing in the traditional product market, and it was like being in a big ocean. There wasn't a particularly obvious difference between us and other companies.

But around 2012 or 2013, we started transforming the business.

We moved further upstream in the industrial chain and began researching and producing materials ourselves.

Once we successfully developed the materials, our entire business model changed.

What type of overseas customer can become a factory partner?

Mr Fan: First, they need to want to establish their own factory.

Second, they need to recognise and value our technology.

Our production process is very simple and highly automated, so it doesn't require a large workforce.

Whether the factory is in a developed country with high labour costs or in a developing market, if a partner can work with us, they can potentially serve their local market through this manufacturing model.

Do partners need specialist production expertise?

Mr Fan: The requirements for workers aren't particularly high because we provide training.

The automation also helps reduce the amount of labour required.

How do you find customers for such a specialised business model?

Mr Fan: We mainly find customers through exhibitions and trade shows.

The companies that work with us are generally already involved in foreign trade or importing.

Previously, they may have imported finished products and faced very intense competition, constantly comparing prices.

After working with us, they don't have to continue competing with other importers in exactly the same way.

They can manufacture locally instead.

What does your company provide and what does the local partner manage?

Mr Fan: Our technology is the key part.

We provide the technology and solve the production and product-side issues, while the partner can focus on operating the business locally.

We provide the automated production setup, moulds and equipment, and assemble the production line.

The materials required for production continue to come from us in China.

Why is material technology so important to your model?

Mr Fan: One of our particular advantages is our material synthesis technology.

The materials are already being sold in Europe, and some European factories are using them.

That gives customers confidence in us.

If the materials have already been accepted in the European market, it can make it easier for customers in other markets to trust them as well.

But our core model is still factory replication.

Does automation make local production more viable in high-cost markets?

Mr Fan: Yes. It can solve many of the labour-related challenges.

The production process has been designed to be as automated as possible, which means it doesn't require a large workforce.

What exhibitions do you normally attend?

Mr Fan: We attend exhibitions in China as well.

In Europe, we've mainly focused on specialist exhibitions in Frankfurt.

We don't know as much about some of the other exhibitions. If we had known in advance that this particular show wasn't sufficiently specialised for what we do, we might not have attended.

What makes an international exhibition worthwhile for your company?

Mr Fan: Our situation is a little different from many other companies because we have quite a deep competitive moat.

Some of the large European customers already working with us actually don't want us to exhibit.

From their perspective, if we exhibit publicly and meet more customers, that could potentially create more competition for them.

So we've been considering whether we should exhibit at some of these shows at all.

What type of European customers do you already work with?

Mr Fan: We work with both factories and wholesalers that have their own brands.

For brand customers, we manufacture products for them.

We can still continue developing other opportunities in the UK and European markets.

Why were you particularly interested in coming to the UK?

Mr Fan: One of the main reasons is our core material technology.

Around 30 years ago, the UK already had related technology, and at that time a large proportion of these materials in the global market came from the UK.

So I originally thought this would be a relatively professional exhibition and wanted to come here and show people our technology.

They already know that we exist.

Some of the material market previously supplied by European factories has now been replaced by our products.

How does your production capability differ from European competitors?

Mr Fan: Some companies manufacture materials, similar to us.

Other companies handle different stages of production.

But those activities are often split between different companies.

What they don't have is the same ability to provide the entire production line and complete industrial chain through one company.

Because their capabilities are divided between different businesses, they can't necessarily make decisions and implement the complete system as quickly.

Our main advantage is the complete industrial chain.

What Does "Factory Replication" Mean in International Manufacturing?

Mr Fan's model represents something significantly different from conventional product exporting.

In a traditional OEM relationship, the commercial flow might look like:

overseas brand → Chinese manufacturer → finished products → overseas market

In the model described by Mr Fan, more of the manufacturing capability itself is transferred:

Chinese technology → materials + moulds + equipment + automated production line + training → local factory → local or regional market

The Chinese company remains important to the supply chain because the materials required for ongoing production continue to be sourced from it.

The overseas partner, meanwhile, gains the ability to manufacture locally rather than relying entirely on imports of finished products.

This makes the relationship much deeper than a conventional buyer-supplier transaction.

Why Move Upstream in the Supply Chain?

One of the most important moments in the company's development came around 2012–2013.

Before then, Mr Fan describes the business as competing much like other traditional exporters.

The company was selling within an established product market where suppliers could easily find themselves competing on similar products and price.

Moving upstream into material R&D and production changed that position.

Instead of controlling only finished-product manufacturing, the company began controlling a technology that sits earlier in the production chain.

That capability then made the broader factory-replication model possible.

The strategic shift can therefore be summarised as:

finished-product competition → material technology → production system → international factory partnerships

Who Is the Right Buyer for a Complete Production System?

This model also changes what "buyer fit" means.

Mr Fan is not simply looking for a retailer interested in purchasing bakeware.

The potential partner needs to:

want to establish local manufacturing, recognise the value of the technology, have the ability to operate the local business and see a commercial opportunity in serving its domestic or regional market.

Mr Fan says many suitable partners already have experience in importing or international trade.

That makes sense within the model he describes.

An importer already understands the market and customer base. Instead of continuing to import finished products while competing against other importers, it can potentially move further into the value chain by establishing local manufacturing.

The supplier is therefore not simply looking for a buyer.

It is looking for an international manufacturing partner.

Why Does a Complete Supply Chain Create a Different Proposition?

Mr Fan identifies the company's complete industrial chain as its principal advantage.

Individual competitors may possess similar capabilities at particular stages.

One company may produce materials. Another may provide equipment or handle another part of production.

The distinction, according to Mr Fan, is the ability to combine:

material technology + moulds + equipment + automation + production-line implementation + training + ongoing material supply

within one commercial relationship.

For an overseas partner considering local manufacturing, coordinating these capabilities through one supplier can create a very different proposition from sourcing each part independently.

Key Takeaways

• The company specialises in bakeware, but its capabilities extend into materials, moulds, equipment and automated production systems.

• Around 2012–2013, the company began moving upstream into material research and production.

• Mr Fan says this shift fundamentally changed its business model and differentiated it from conventional product exporters.

• The company describes its current international model as "factory replication".

• It already has manufacturing partnerships in Cambodia and Turkey, serving different markets.

• Overseas partners receive support with technology, automation, moulds, equipment, production-line implementation and training.

• Materials required for ongoing manufacturing continue to be supplied from China.

• The company also sells its materials directly to European factories.

• Suitable partners are not simply product buyers; they need to be interested in establishing and operating local manufacturing.

• Mr Fan identifies the company's ability to provide a complete industrial chain as its principal competitive advantage.

• The company has existing European factory and private-label brand customers and remains open to further UK and European opportunities.

• Because its business model is highly specialised, Mr Fan believes the relevance and professionalism of a trade show are particularly important.

Finding Partners for More Complex B2B Relationships

This interview demonstrates why international sourcing cannot always be reduced to a simple relationship between a buyer and a supplier.

Some companies are looking for finished products.

Others need OEM production.

Others may need raw materials or components.

And in Mr Fan's case, the target partner may be looking for something much more substantial:

the capability to establish an entire local manufacturing operation.

That makes relevant buyer discovery particularly important.

A general buyer searching for bakeware may have little relevance to the company's factory-replication proposition, even though the product category appears to match.

The relevant opportunity is a business with the commercial objective, operational capability and sourcing requirement to use the technology and production system being offered.

This is also relevant to China Sourcing Show 2027.

Through Matchmaker, buyers can describe what they are actually looking for and discover exhibitors and products relevant to those requirements.

For suppliers with more complex capabilities, this creates an opportunity to communicate more than a product catalogue.

They can explain their technology, production capabilities, materials, customisation options and preferred type of business partnership.

Because sometimes international sourcing isn't simply about finding a supplier that can make a product.

It's about finding a partner that can provide the capability behind it.

Book a demo to discover China Sourcing Show 2027.