The FINANCIAL — Hitachi Automotive Systems (China), Ltd., a group company and the Chinese regional headquarters of Hitachi Automotive Systems, Ltd., and Hitachi (China), Ltd., the Chinese regional headquarters of Hitachi, Ltd., on June 19 announced that they determined to establish a new manufacturing company in Chongqing City with the aim of further expanding their automotive systems business in China.
China, the world’s biggest automobile market, is expected to continue to grow further in the future, with domestic automobile production also set to expand. At present, Hitachi Automotive Systems has established 13 consolidated manufacturing subsidiaries, located primarily on the eastern and southern coasts of China, and intends to expand its business. One of the company’s global strategies places increasing importance on catering to automakers which are expanding their bases into inland regions of China; as a consequence, Hitachi Automotive Systems (China) and Hitachi (China) are planning to establish a new manufacturing company in the inland region of Chongqing in 2016.
Hitachi will establish this new manufacturing company on approximately 170,000㎡ of land in the Liangjiang New Area, Chongqing, in order to manage local requests for support from automakers. Mass production is scheduled to start in 2018, and the company will aim to expand business in chassis-based products and engine management systems, both of which are subject to increasing demand, according to Hitachi.
Hitachi will continue to strengthen local support that is optimized to meet the specific needs of every region of the world; and, focusing on China as well, Hitachi intends to further expand its automotive systems business in the global market.