German auto-parts maker and engineering firm Robert Bosch is planning to construct the chassis systems control division facility in China at Chengdu in Sichuan province, to meet the demands of both automakers and customers.
Bosch will invest $137m in the construction of the new 127,000 m2 facility which will be named as Bosch Automotive Products (Chengdu).
The first phase of the construction is scheduled to be finished by the early 2013 allowing the company to produce 1.4 million antilock-braking and ESP systems a year as well as allow it to produce 19 million wheel-speed sensors per year.
Bosch Chassis Systems Control Division China regional president Ferdinando Sorrentino was cited by chinadaily as saying only 15% of the vehicles produced in China last year were equipped with the ESP system.
"Globally, the figure is about 44 percent and the acceptance and demand are increasing," Sorrentino said.
Bosch board of management member and responsible for Asia Pacific region Uwe Raschke said the company's insights into China's economy make it seize every opportunity to achieve sustainable growth.
"In line with the government agenda of accelerating the western region's development to drive investment growth, Bosch is strengthening the go-west strategy," Raschke said.
"In recent years, Chengdu has become one of the most influential cities in China's western economy, as well as attracting more automakers to set up their manufacturing sites, including Volkswagen, Volvo and Toyota and it's a strategic step for Bosch to havepresence here."
Bosch said that it is also planning to invest more in the China's western and central regions which will remain an important destination for its investments in the next four to five years.
