Foreign investment in Taizhou has not only promoted industry upgrading and optimization in Taizhou, but also brought considerable economic returns to the investors.
- Case 1: World Top 500 SK Group and China Gas jointly invested to establish Taizhou China Gas Aisikai City Natural Gas Development Co., Ltd.
As Word Top 500 company and the largest comprehensive energy and chemical enterprise, SK Group leads the world in energy conservation, environment protection and operation management skills. Attracted by favorable investment environment and development potential, SK Group and China Gas jointly invested in natural gas industry in Taizhou and established Taizhou China Gas Aisikai City Natural Gas Development Co., Ltd. in December of 2007.With stock holdings of four subsidiaries, namely Taizhou Gas Design and Research Institute, Taizhou Zhengqi Industrial Equipment Installation Co., Ltd. Taizhou StandardNatural Gas Devices Inspection Center and Taizhou Zhengfang Natural Gas Supplies Co., Ltd., Taizhou China Gas Aisikai City Natural Gas Development Co., Ltd. is currently the pipe gas company with the most users, largest scale and the best strength in Taizhou.
When it comes to investment and establishment of the company in Taizhou and its future development, Aisikai pointed out that transportation infrastructure, municipal utilities and investment conditions in Taizhou are superb, government pays great attention to investment attraction and the Bureau of Commerce designated people to provide quality services during the whole time to establish the company. In addition, government agencies like Bureau of Commerce and Administration of Foreign Exchange used Chinese new social media TencentQQ to set up chat group to provide real time one-stop online consulting service to enterprises, which saved enterprises a lot of time to handle different matters.
- Case 2: World Top 500 Continental AG officially acquired Taizhou Fuju Rubber Belt Manufacturing Co., Ltd. to increase its production capacity in China
With an annual sales of 33.3 billion euros, Continental AG is one of the leading automobile parts suppliers in the world. One of its subsidiary ContiTech AG, a leader in rubber and plastic technology in the world and a major supplier for many areas of non-tire rubber products, boasts of professional rubber technology strength in the area of non-tire rubber products.
In January of 2014, German Continental ContiTech acquired Taizhou Fuju Rubber Belt Manufacturing Co., Ltd. and established ContiTech Transmission System (Sanmen) Co., Ltd., which uses newly completed factory of 33,000 square meters as production base to further develop ContiTech’s transmission belt business in China. ContiTech Transmission System (Sanmen) Co., Ltd. is specialized in developing, producing and selling transmission belts used in automobiles and industrial equipment. The company mainly produces Continental, Roulunds, Fuju belts and belts of its own brand. It has complete and scientific quality control system.
“This acquisition can facilitate faster growth of ContiTech in China.” said Heinz-Gerhard Wente, head of the Continental ContiTech division and chairman of the Executive Board of ContiTech AG, “We have increased our production capacity in China in a very short time and enhanced ContiTech’s strength in transmission belt business.” From the spring of 2014, ContiTech will begin to produce V belts and ribbed belts, which are to be used in auto parts market, auto after-sale market and other industrial sectors. The new company is only 50 kilometers away from ContiTech’s factory in Ninghai, which mainly produces automobile and industrial belts. “These two bases are very close to each other so there can be synergy effect.” Said Mr. Wente.
- Case 3: Japanese Aisin Seikiinvested in automobile parts industry in Taizhou
Taizhou is the first stop for world top 500 Japanese Aisin Seiki to invest in China. In June of 1995, Aisin Seiki, Toyota Tsusho Corporation and Taizhou Ruifeng Investment Development Co., Ltd. jointly invested and established Zhejiang Aisin-HongdaAuto Parts Co., Ltd. with a total investment amount of USD 19.50 million and registered capital of USD 10 million. The reasons why Taizhou was chosen are its developed private economy, flexible market mechanism and sophisticated ecological system of auto parts industry chain.
As one representative of foreign-invested enterprises in automotive industry in Taizhou, Aisin-Hongda occupies an area of 13,300 square meters and a floor area of 8,860 square meters with silicon oil fan clutch, water pump, oil pump, cylinder head cover, timing gear assembly, aluminum casting products and motor products. The company has already obtained QS9000,ISO14001,ISOTS16949：2002certificates and has become a Little Giant Enterprise specialized in automobile parts R&D, production and sale. Looking into the future, the company is seeking fast development and is expected to achieve the strategic sales goal of RMB 1 billion yuan in 2018 based on the current annual sales of RMB 0.5 billion yuan.
- Case 4: World Top 500 Magna signed agreement to build manufacturing base in Taizhou
As one of the world’s largest automobile parts manufacturers, World top 500 Magna is considered the most diverse automobile parts supplier in the world with products including interior system, seating system, locking system and roof system. As one of the world top 500, Magna has set up 294 factories, 87 engineering, R&D and sales centers in the world with more than 110,000 employees spread in 26 countries and regions in North America, South America, Mexico, Europe, South Africa and Asia-Pacific region.
Magna seating system manufacturing base in Taizhou belongs to supporting project of Geely V project and investment for the first phase is RMB 80 million yuan. Located in Taizhou Bay Circular Industry Agglomeration Zone, the base is expected to be completed and put in operation in May of 2016. It is estimated that annual sales will be RMB 500 million yuan. After the construction is complete, it will become the first factory to manufacture Magna seating system in China.
