Teddy bear inventor Steiff, Melchers ink partnership for China expansion

Both companies will establish a supply chain and distribution centre in Shanghai.

German toy manufacturer Margarete Steiff GmbH – inventor of the teddy bear – has entered into a strategic partnership with the Melchers Group for expansion into the Chinese market.

The joint venture will strengthen the presence and marketing of Steiff products to growing Chinese consumers and merchants.

Additionally, both entities will set up an “Asia Supply Chain Hub” in the Shanghai free trade zone, functioning as the principal warehouse and distribution centre. Steiff products will then be distributed to other markets in Asia and the US.

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Melchers Group will serve in both advisory and operational roles through extensive market expertise and other services.

“The goal of our global strategy is to optimize the brand experience across all physical and digital touchpoints. The collaboration with Melchers opens up new opportunities for us to unleash our full potential as a premium brand directly on site in the Asian market without letting go of the reins,” Frank Rheinboldt, Managing Director of Margarete Steiff GmbH, said.