SHANGHAI, Aug 18, 2016 /PRNewswire/ -- The Schaeffler Group signed a cooperation agreement with a visiting delegation from the Hunan provincial government on August 17th at Anting, the headquarters of Schaeffler Greater China. Under the agreement, Schaeffler will invest in a new production base in Xiangtan, Hunan province, with a view to expanding the company's production capacity in Greater China and better serving customers in both the domestic and international markets.
Witnessed by Dr. Zhang Yilin, Regional CEO Schaeffler Greater China, and Zhang Jianfei, Vice Governor of Hunan Province, the investment agreement was signed by Guenther Werner, Schaeffler Greater China COO, and Sun Yinsheng, Party Secretary of Xiangtan Economic and Technology Development Zone of Hunan province. Specifically, Schaeffler will invest in the phased construction of a new production base in Xiangtan city, Hunan province. The first phase of the project will occupy a total area of around 20 hectares and the first plant, which will manufacture automotive parts and precision bearings, is scheduled to enter operation by the end of 2018.
"Since 1995, when Schaeffler began investing and building production plants in China," said Dr. Zhang Yilin. "We have focused on penetrating and expanding into the Chinese market. Schaeffler has already established a close cooperative relationship with all of the country's major automobile manufacturers and supporting manufacturers, as well as customers in a diverse range of industrial sectors. Under the group's strategy 'Mobility for tomorrow' we will continue contributing to the development of China's automobile and industrial manufacturing industries, and look forward to progressing hand-in-hand with the economic and social development of Hunan."
Schaeffler's decision to build a new production base in Xiangtan was inextricably linked to the area's excellent geographical location, infrastructure and talent base. Situated only an hour's drive from the provincial capital Changsha, or 15 minutes away by high-speed rail, Xiangtan is also served by Hunan's largest river, the Xiangjiang, which connects directly to the Yangtze River. In order to take full advantage of the abundant local talent and educational resources, Schaeffler has already planned to set up local training centers and pre-production centers for training workers and technicians. In the future, Phase II of the project will involve the construction of a second plant, a logistics center and a training facility.
Dr. Zhang Yilin said, "Schaeffler's investment into building plants in Hunan demonstrates our confidence in the Chinese market. I believe that our base here in central China—near to our customers in the west, such as in Chengdu and Chongqing, and in the south—will effectively complement our bases in the Yangtze River Delta cities of Taicang, Nanjing and Suzhou, further optimizing the deployment of Schaeffler's production capacity in China."
About Schaeffler
The Schaeffler Group is a leading global integrated automotive and industrial supplier. The company stands for the highest quality, outstanding technology, and strong innovative ability. The Schaeffler Group makes a key contribution to "Mobility for tomorrow" with high-precision components and systems in engine, transmission, and chassis applications as well as rolling and plain bearing solutions for a large number of industrial applications. The technology company generated sales of approximately EUR13.2 billion in 2015. With around 84,000 employees, Schaeffler is one of the world's largest family companies and, with approximately 170 locations in more than 50 countries, has a worldwide network of manufacturing locations, research and development facilities, and sales companies.
About Schaeffler Greater China
Since its investment in China in 1995, Schaeffler Greater China has become an important supplier and business partner of the automotive and industrial sectors in China. Upholding the concept of "in the region, for the region", Schaeffler Greater China is committed to providing products at the best quality and zero distance services to customers. Currently, Schaeffler Greater China has around 11,000 employees; one R&D center in Anting, eight plants in Taicang, Suzhou, Yinchuan and Nanjing; and twenty-two sales offices in mainland China, Hong Kong and Taiwan. Schaeffler Greater China has been honored as a "China Top Employer 2016" and an excellent enterprise for social responsibility.
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