Who Owns China Square? Lei Cheng Wealth and Businesses
China Square has been the talk of the town since its inception on January 29th, 2023. The multi-million enterprise is located at the Unicity Mall few meters from Kenyatta University.
The Chinese-owned business has been trending for wrong and right reasons, Kenyans consumers have received it so well but Kenyan traders who ship products from China. While Kenyans queue to get a share of what is being sold, Kenyan Traders are crying citing the Chinese man wants to take them off the market.
Following their cry to the Cabinet Secretary of Trades Moses Kuria, the CS proposed that the KU university should buy out the business and hand it over to traders in Nyamakima, Muthurwa, and Eastleigh traders to eliminate the new sheriff in town. So, who owns China Square? and why all the controversies around it?
Who Owns China Square?
China Square was founded in January 2023 by a Chinese tycoon, Lei Cheng. The Chinese native visited Kenya for the first time in September 2022 and he fell in love with the business environment of the country.
The first thing he noticed when he arrived in the country was the hyped prices of products that are imported from his native country. This opened doors for him to open a business and sell the same products at a fair price.
When he returned to China he consulted with some suppliers on setting up a business in the country and that marked the genesis of China Square. On 29th January 2023, the door of the controversial market opened with slashed prices for all products.
In Kenya, anything that is pocket friendly they embrace with open arms, the first week of operation, China Square made sales worth Ksh 20 million. According to the owner, the business is thriving due to his ethical mode of business and referrals from his happy customers.
The business has not only won the heart of Kenyans but has also made UniCity which was one of the most unnoticed malls become the center of attraction. It only occupies 10% of the mall and has around 130 employees.
However, despite the success of the business, the China guy has been facing backlash from local traders who also gets their goods from China and sell them at a premium price. The traders are accusing him of cutting them from the market due to his style of business.
The traders reached their complaints to the Cabinet Secretary of Trade and in response, Moses Kuria cited that, Kenyatta University should buy out Cheng’s business and hand it over to other traders.
However, Cheng has insisted that his business is legal and is based on the healthy competition just like any other business. He also added that when he was applying for the licenses he was not told Chinese are not allowed to own businesses in Kenya. According to him, he believes Kenya is a good business hub and the government should allow everyone to do business.
Lei Cheng Wealth and Other Businesses
Cheng is a new face on the Kenyan business map and much is still unclear about his wealth or other ventures that he’s involved in.