Insight into the opportunities and go against the trend to support the rise of Yongrui Group
In our daily life, tape can be said to be a ubiquitous “universal little helper”. Whether it is packaging for express delivery, doing manual work, or temporarily repairing or fixing items, it can always easily solve all kinds of minor troubles. But have you ever thought that the roll of tape you picked up might be from SBGroup in Balakang, Selangor, Malaysia? This seemingly low-key factory silently produces these inconspicuous but essential daily necessities every day, quietly making our lives more convenient.
Yongrui Group is now one of the leading tape manufacturing companies in Southeast Asia and the largest tape manufacturer in Malaysia. Its development history can be traced back to 1977. At that time, the founder To Sui Mei opened a small store in Bakau, Muar. At a time when Southeast Asian countries are in the transition period from agricultural economy to industrialization, industrial transfer has brought huge opportunities to the market. With keen business intuition, Du Ruimei seized this opportunity. In 1988, he made a historic decision: transform the original small trading company and family workshop into a professional manufacturer of ribbons and tapes, and move the factory to Kuala Lumpur. It is worth mentioning that Yongrui Group is also the first and largest manufacturer of ribbons and tapes in Malaysia, setting a precedent in the industry.
This strategic move not only marks an important turning point in the development history of Yongrui Group, but also paves the way for its future rise and lays a solid foundation for becoming an industry leader. Du Ruimei’s vision and decision-making enabled the company to rapidly grow from a small local store to a pioneer in the field of ribbons and tapes, laying a solid foundation for future expansion in Southeast Asia and even the global market.
However, career success is not always smooth sailing. In 1990, Du Ruimei had to temporarily let go due to health problems and handed over the factory and company to his eldest son Du Zhihui to take over. Du Zhihui has often helped in the factory during holidays since middle school. Du Zhihui knew the company’s operations well and quickly took over his father’s important tasks. However, the company soon faced a serious test.
In 1994, Du Ruimei decided to buy land and build a factory, hoping to expand production. However, just as the new factory was about to be put into operation in 1995, a sudden fire destroyed the old factory in Kuala Lumpur, causing huge property losses. The original expansion plan was postponed as a result. Despite the many difficulties they faced, the Dus were not discouraged. After a year of adjustment and reorganization, the factory was re-planned into two factories merged into one, and the mechanized production line was installed and started. The production capacity of Yongrui Group has been greatly improved.
However, new challenges followed. The Asian financial crisis in 1997 plunged the entire regional economy into crisis. The ringgit devalued rapidly and many companies went bankrupt during the storm. Yongrui Group was not immune, with bank interest rates rising to 22% and the company’s liquidity facing severe challenges. To make matters worse, some customers returned the products, causing losses of millions of ringgit to the company.
During this crisis, after careful consideration, Du Ruimei and Du Zhihui decided to take advantage of the exchange rate advantage brought about by the sharp depreciation of the ringgit and take counter-trend operations to expand the territory of overseas markets. They realize that this is not only a test of survival, but also a moment of opening up new opportunities. As a result, they not only continued to delve into the Southeast Asian market, but also decisively entered the Middle East and Eastern European markets. This bold strategy not only helped Yongrui Group successfully avoid domestic economic turmoil, but also significantly improved the company’s international competitiveness.
In the Middle East market, Yongrui Group has quickly won the trust of customers with its high-quality tape products. In Eastern Europe, they took advantage of the region’s rapidly growing demand for industrial supplies and successfully launched their products into multiple emerging markets. This global expansion not only brings new sources of income to the company, but also effectively disperses risks, making Yongrui Group more resilient and able to withstand stress in the face of future market fluctuations.
The success of this strategy completely reversed the financial difficulties faced by Yongrui Group at that time and laid a solid international foundation for the company’s subsequent development. By expanding overseas markets, Du Ruimei and Du Zhihui not only helped the company gain a foothold in the crisis, but also paved the way for future global expansion, establishing Yongrui Group’s unshakable position in the global tape industry today.
Southeast Asia’s leader in tape manufacturing
In 1999, in order to meet the growing market demand, Yongrui Group purchased adjacent land and further expanded the scale of the factory. The factory area has been expanded three times, and the production lines have also been updated. At the same time, Yongrui Group has increased its research and development efforts and launched a series of new products, including self-adhesive watering tape, electronic tape, and processing of paper tubes and paper products. These new products not only enrich the company’s product line, but also allow Yongrui Group to occupy a more important position in the tape manufacturing industry.
After entering the 21st century, Yongrui Group has continued to grow and gradually grown into a leading enterprise in the adhesive tape manufacturing industry in Southeast Asia. Relying on a number of independently developed advanced technologies, the group’s products are sold all over the world and are widely used in industrial and household fields. The foresight of father and son To Sui Mei and To Chi Fai has led the company steadily towards success, developing this small shop that originated in Muar into an internationally renowned manufacturing enterprise today. With excellent business decisions and unremitting efforts, Yongrui Group has been recognized by many authoritative organizations such as the Asia Sustainable Innovation Project Consortium (ASEIC) and the Asia-Pacific Enterprise Awards (APEA). The company won the ASEIC Eco-Innovation Project Award in 2015 and 2016, and recently won three awards at the 2023 Asia Pacific Enterprise Awards (APEA), further solidifying its preeminent position in the industry.
After Du Ruimei’s death in 2006, Du Zhihui took over as the company’s managing director, and his sister Du Meimei became the CEO in 2021, and the company entered a new chapter. In March 2020, the COVID-19 epidemic suddenly struck and the world came to a standstill. SB Group also faced major challenges, with the company’s operations disrupted for five days due to the movement control order imposed by the government. Although production subsequently resumed, ongoing restrictions created numerous difficulties. However, Mr. Du successfully led the company through this period of uncertainty with his firm determination and quick decision-making skills.
Under the outstanding leadership of Mr. Du and the excellent leadership skills of the new CEO, Du Meimei, Yongrui Group quickly adapted to the new normal brought about by the epidemic. The company has established a safety, health and environment committee with employee well-being as its primary goal, and has adopted a series of strict epidemic prevention measures, including installing disinfection channels and thoroughly disinfecting the workplace every day, aiming to curb the spread of the new coronavirus. At the same time, ensure the normal operation of the production line. These active response measures have achieved remarkable results, allowing SB Group to achieve the most brilliant annual performance in the company’s history during the epidemic.
With excellent business decisions and unremitting efforts, Yongrui Group has been recognized by many authoritative organizations, including the Asia Sustainable Innovation Project Consortium (ASEIC) and the Asia Pacific Enterprise Award (APEA). The company won consecutive ASEIC Eco-Innovation Project Awards in 2015 and 2016, and in 2023, it won three awards at the Asia-Pacific Enterprise Awards, further consolidating its industry-leading position. In addition, Yongrui Group also won the International Innovation Award for its innovative invention of biodegradable tape. In the same year, Mr. Du was awarded the Entrepreneurship Model Award in Taiwan, demonstrating his outstanding contribution to enterprise development and becoming an excellent role model for aspiring entrepreneurs.
The growth process of Yongrui Group is full of hardships and challenges, but it is also accompanied by wisdom and opportunities. Under the leadership of the Dus and his sons, the company continued to innovate and expand, successfully breaking through one difficulty after another and becoming a leader in the industry. Nowadays, whether you use tape at home or in the workplace, behind these seemingly ordinary products are the efforts and persistence of Yongrui Group for many years. All this is not only a corporate success story, but also a growth legend from local to international.
