ZF Friedrichshafen is investing EUR60m (US$61m) in a brand new plant in Rizhao metropolis, Shandong province, China, to strengthen its place within the native automotive provide chain.
Based on a deal signed with metropolis authorities, the brand new plant is scheduled to start manufacturing of airbag cushions and different passive security merchandise by the top of 2022. The manufacturing unit covers an space of 14,000 sq m and also will have analysis and growth (R&D) amenities.
The merchandise will likely be primarily for China with potential for exports to South Korea, Thailand, US, Japan and Vietnam.
The corporate expects the plant to generate annual gross sales of CNY1bn (US$149m) inside three years.
ZF has 50 factories in 20 cities throughout China, together with eight devoted to producing passive security techniques equivalent to airbag and steering wheel modules and seatbelt techniques.
