Bosch Increases Investment in China
Bosch is to open a new development and technology centre in China as part of its 500 million euro investment planned for the Chinese market over the next three years. The facility will be located at Suzhou approximately 80km west of Shanghai and will cost 50 million euros.
The new technology centre will employ around 220 employees and will extend over of some 200,000 sq metres of space. It will concentrate on automotive electronics and brake systems.
“In addition to the demand for cleaner and more economical cars, China will in future feel the need for more safety,” said Dr Rudolf Colm, member of the board of management of the Bosch Group. “This is why we are convinced of the potential for Electronic Stability Program (ESP) systems.” Currently the installation rate for ESP in China amounts to some three per cent, the company anticipates that this will triple by 2008.
Bosch has been offering ESP systems in the Chinese market for the last three years and producing antilock braking systems (ABS) from its plant in Suzhou since the end of 2003. Production of ESP systems is expected to commence at the same plant this year.
The company has already invested 550 million euros in China and employs some 10,700 people. Bosch is represented with holdings in Shanghai and Beijing in addition to eleven wholly-owned subsidiaries and nine joint ventures.
It has 20 manufacturing sites in China and sells its products through six aftermarket companies and manages more than 400 Bosch service workshops. In 2004 Bosch generated sales in China worth 1.2 billion euros.