Become A Global Building Materials System Service Provider! Dongfang Yuhong Makes Another Move In Chile

October 14, 2025,Oriental YuhongThe announcement states that the transaction for the acquisition of 100% equity in Construmart S.A., a leading building materials retail company in Chile, has been successfully completed through two wholly-owned subsidiaries for $123 million (equivalent to 880 million RMB). With this, Dongfang Yuhong has achieved a global layout in terms of brand, production capacity, and channels, actively practicing its global development positioning as a "system service provider for building materials."

Globalization: From Strategy to Tactics

As a global "building materials system service provider," one can see a firm belief in Li Weiguo, the chairman of Oriental Yuhong. Li Weiguo once published an article titled "The Warrior Swallows the Cow" in Oriental Yuhong's internal publication, stating that "without a solid domestic market, overseas strategies are like 'a source without water, a tree without roots'." He emphasized that internationalization is not a way to escape domestic competition, but a natural outflow after local capabilities mature. Only by deeply rooting in the domestic market can the "crown" of overseas expansion reach further. At the same time, Oriental Yuhong adheres to a more advanced globalization mindset: not pursuing "I come to conquer," but "I come to contribute," embedding products, technologies, and services into local market and cultural contexts to achieve symbiosis and win-win with overseas markets.

In an interview with Huizheng Information, Wang Wenping, president of Eastern Rainbow Overseas Development Group, elaborated on the overseas strategy driven by the "three engines" of trade, investment, and mergers & acquisitions, and clarified the strategic planning of "overseas first." This includes trade-driven growth relying on long-term cooperation with large Chinese enterprises, leveraging international engineering projects to "go global," and becoming the preferred supplier for overseas high-quality building materials; investment layout promoting localized operations, building local teams to gain market insights and adapt to customer needs, prioritizing the layout of globally competitive products while customizing solutions for different countries; and mergers & acquisitions that enable quick entry into core markets by acquiring mature enterprises, thus gaining established sales channels and customer resources. The acquisition of Construmart, a leading building materials supermarket in Chile, is a key practice of this approach.

Foundation Chapter: Prioritizing Capacity and Brand

In fact, Dongfang Yuhong's internationalization efforts have been laid out for a long time. After the establishment of the International Trade Department in 2004, the North American R&D Center was set up in 2015, and a company was established in Malaysia in 2016, gradually building an overseas foundational framework. Today, its global layout has entered an accelerated phase of flourishing in multiple regions.

In August last year, Oriental Yuhong's production, research, and logistics base in Houston, USA, broke ground in Prairie View, Texas. The first phase mainly involves the construction of a TPO waterproof membrane production line and a North American R&D center, while the second phase will focus on the construction of production facilities for insulation, sand powder, and channels. In January 2025, the production line at Oriental Yuhong's production, research, and logistics base in Malaysia successfully completed its first trial production. This factory is equipped with multiple advanced production lines covering products such as water-based coatings and mortars, and it fully incorporates advanced production technologies and intelligent production equipment. In April 2025, Oriental Yuhong Tian Dingfeng's Middle East production base project reached a critical milestone, with the main workshop, finished goods warehouse, and plant area having been constructed up to the ground level, with the overall construction progress reaching 30%. It is expected to be fully operational by December of the same year.

Meanwhile, Oriental Yuhong is actively building a global business network. Overseas companies and offices have been established in multiple countries, including Vietnam, Malaysia, Singapore, Canada, and the United States, and are progressing in an orderly manner. The company is also continuously expanding its overseas channels by reaching agency agreements with 11 Vietnamese companies, holding a new product launch conference in Malaysia, and participating in the Ho Chi Minh City International Construction Material Exhibition in Vietnam. As of now, Oriental Yuhong's presence spans over 150 countries and regions, with more than 1,000 overseas market agents.

The steady progress of these overseas projects has provided strong support for Dongfang Yuhong's growth in international business. According to financial report data, Dongfang Yuhong's overseas business revenue grew from 246.7 million yuan in 2020 to 877 million yuan in 2024, a significant increase of 255% over four years. At the same time, the proportion of the company's overseas business revenue rose from 1.14% in 2020 to 3.12% in 2024, with impressive performance in the overseas market.

New Journey: The Globalization of Retail Channels Begins

As a key move in its overseas strategy, Dongfang Yuhong stated in the announcement that this acquisition aims to "strategically expand the overseas market and establish an international retail channel for building materials." By integrating Construmart's local channels and sales capabilities, it intends to establish a foothold in Chile and radiate throughout the Latin American market.

Construmart, as one of the leading brands in the Chilean building materials supermarket sector, operates 32 stores in Chile. Financial data shows that in 2024, Construmart achieved a revenue of 2.093 billion yuan and a net profit of 35 million yuan; from January to May 2025, revenue reached 916 million yuan with a net profit of 25 million yuan. For Oriental Yuhong, this acquisition allows it to leverage Construmart's local channel and sales capabilities to quickly establish a foothold in the Chilean market. Additionally, Oriental Yuhong hopes to integrate Construmart's operational experience to empower its domestic retail business, realizing the strategic idea of "promoting the internal through external means."

After the acquisition was completed, Oriental Yuhong quickly promoted integration and expansion. On the afternoon of October 15, local time in Chile, the new San Pedro store in Concepción officially opened. This is the first store opened by Oriental Yuhong after the acquisition and the 32nd store in Chile, marking a substantial step forward in the company's localized operations. The store covers an area of 5,000 square meters and features a comprehensive upgrade in product display and customer experience, showcasing Construmart's mature building materials products and equipped with a professional sales and technical team to enhance user experience and brand value through a "product + service" model. Xiong Weifeng, Director of Oriental Yuhong Holdings, Vice President of Overseas Development Group, and Chairman of Construmart, stated, "Chile is a key pivot in Oriental Yuhong's overseas strategic layout. In the future, we will use Construmart as a regional base to continuously deepen our efforts in the Latin American market and build a sales network and service system covering Latin America."

After completing the acquisition of Chile's Construmart and the establishment of its 32nd store, Oriental Yuhong's globalization blueprint is becoming increasingly clear. Transitioning from "China's waterproofing leader" to a "global building materials and services provider," Oriental Yuhong is steadily expanding overseas based on its domestic strength and accelerating regional penetration through mergers and acquisitions. Furthermore, Oriental Yuhong's chairman, Li Weiguo, has set a higher goal: to fully benchmark against the leading U.S. home improvement retailer, Home Depot, with the aim of surpassing it in about twenty years. With the release of production capacity from overseas factories and the continuous expansion of retail channels, Oriental Yuhong is writing a new chapter in the internationalization of Chinese building materials companies with the pace of "deepening roots locally, serving globally."