When we talk about Hong Kong's rich people, real estate tycoons such as Li Ka-shing and Lau Luen-hung always bear the brunt of the mind. You probably haven't heard much about manufacturing giants, though.
Today, we're going to talk about a little-known Hong Kong manufacturing giant who has built an empire in the manufacturing industry - Horst Julius Pudwell. Not only did he become the richest man in Hong Kong's manufacturing industry, but his company also gained a foothold in the global power tool market.
Horst Julius Pudwell, a German engineer who was sent to Hong Kong in the mid-1970s, was originally a sales representative for Volkswagen.
The young engineer could never have imagined that this battle would completely change his fate. Hong Kong, known as the Pearl of the Orient, opened up a whole new world and business opportunities for him.
In 1978, Pudwell met a like-minded partner, Chung Chi Ping, a young talent who had moved to Hong Kong at the age of 16 to work as a warehouse manager at ITT.
The two hit it off and decided to start a business together. Their first step was to set up a distribution company called "Marco Polo", which specialized in the sale of hardware and household equipment. In the beginning, they were just ordinary agents, but they soon found that although the profits of only being agents were stable, it was difficult to control the quality of products and meet the market's desire for innovation.
Pudwell and Chung's ambitions don't stop there. In 1985, they decided to take a bigger step. With only $20,000 in funding, they set up their own production plant in Hong Kong and began producing drills and other power tools for the American brand Craftman. This move opened a new chapter in their manufacturing journey.
With the establishment of the factory, their business also began to heat up gradually. In 1988, Pudwell and Chung's company, now known as Techtronic Industries, set up a larger manufacturing base in Houjie Township, Dongguan, China.
In the same year, Ryobi, a well-known Japanese power tool brand, saw their potential and decided to take a 20% stake, and the two sides established a cooperative relationship. This has not only brought a large number of orders to TTI, but also greatly improved its production quality and technical level.
From OEM to ODM, TTI has changed beyond just the way it works. They began to establish cooperative relations with many well-known brands around the world, such as Bissell, Royal, etc., and gradually expanded their customer channels.
At the end of the 90s, TTI made another big move, spending more than $7 million to acquire the floor care products business of British vacuum cleaner brand Vax.
In the 21st century, Pudwell's vision is more international. In 2003, they acquired the American tool giant Milwaukee Electric Tool for $200 million.
The acquisition not only significantly expanded TTI's product line, but also brought advanced lithium-ion battery technology, which later became the core competency of the company's cordless power tool range.
The successful integration of Milwaukee has established TTI as a leader in the global power tool industry. Pudwell has also acquired a number of well-known tool and accessories manufacturers in Europe and the United States, such as the power tool division of AEG in Germany, further expanding the company's global presence.
By 2010, TTI had become one of the world's largest manufacturers of cordless power tools. And Pudwell, a business wizard who started as a sales agent and eventually became a manufacturing giant, will also rank first in the manufacturing industry on the Forbes Hong Kong Rich List with a net worth of $4.9 billion in 2024.
The company's success is not only reflected in the financial statements. In Dongguan, Shenzhen, Jiangsu and other places, TTI has established a huge R&D and production base, employing tens of thousands of people.
Not only do these factories produce state-of-the-art power tools for the global market, but they are also the embodiment of Pudwell's "High Quality, High Efficiency" manufacturing philosophy.
TTI now has a wide range of products, from household gadgets to professional-grade heavy-duty machines. Their brands such as MILWAUKEE, AEG, and RYOBI have become well-known in the industry, frequently appearing in major hardware stores and online e-commerce platforms.
Pudwell's story also reflects a larger trend: Hong Kong, despite its small size, is still capable of producing manufacturing giants with global reach.
Their success is not only the accumulation of wealth, but also the triumph of strategy, perseverance and innovation. From an understated industry to a current leader in the manufacturing industry, TTI's achievements are a great story for Hong Kong's manufacturing industry.
Such a development process is a long and difficult journey for any entrepreneur. But for Pudwell, it's all worth it. From the small-scale distributor at the beginning to the current global manufacturing giant, every step is the sweat and wisdom of him and his team.
As the company continues to expand, TTI is facing new challenges and opportunities. How to maintain competitiveness in the global market and how to continue to lead in technological innovation are all problems that Pudwell needs to constantly think about and solve.
TTI has proven that even in a city like Hong Kong, which is dominated by the service and financial sectors, the manufacturing industry can flourish and create achievements that are remarkable to the world. Pudwell and his team are the best proof of all this.