Libra-born Jiao Youheng is full of energy. Before turning 50, he was passionate about mountain climbing. After 50, he became enamored with long-distance race walking, often taking 10 to 14 days during summer vacations, carrying 18 kilograms of gear along with minimal food and essentials, leaving many footprints across North America while enjoying the solitude. Jiao’s love for endurance sports also reflects his commitment to the group’s philosophy of “steady growth without seeking quick success,” steadily and methodically transforming Huaxinke.
Having passed its 25th anniversary, Huaxinke is still much younger compared to Huaxin Lihua. By the third quarter of last year, Huaxinke delivered its best performance since its transformation—not only achieving a leaner capital base but also gaining clearer medium- to long-term planning. Jiao Youheng noted that passive components are essentially parts, akin to rice—indispensable across all industries. For decades, their average selling price (ASP) has steadily declined by 3–5% annually, with competitors always present. Demand shows stable but slow growth. On the supply side, once the industry reaches a certain scale, it becomes highly capital-intensive with relatively low revenue, and its proportion in the BOM (bill of materials, i.e., cost) is not high. Clients are unlikely to switch suppliers rashly. Moreover, poorly performing passive component manufacturers have already exited the market, reducing competitors’ willingness to enter. Jiao is optimistic about Huaxinke’s operations following its transformation.
Outstanding Achievements: Awarded the Ernst & Young Entrepreneurship Award
Organized by Ernst & Young Global Limited, the globally renowned Ernst & Young Entrepreneur of the Year Awards have been held since 2005. By 2016, the awards had honored 68 outstanding entrepreneurial elites from various industries. Jiao Youheng, Chairman of the PSA Huake Business Group, was recognized with the 2016 Ernst & Young Entrepreneur of the Year – Entrepreneurial Exemplar Award in late last year. Upon learning that he received this honor, known as the “Olympics of Entrepreneurs” and celebrated worldwide, Jiao expressed that he was deeply honored to receive such a prestigious award and thanked the judges for recognizing his years of hard work.
However, Jiao Youheng does not believe that personal effort alone earned him this recognition. He expressed gratitude to the entire management team of the PSA Huake Business Group, emphasizing that it was the team’s contributions that led to this achievement. He knows that without them, he could never have done it alone.