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Denso, One of the World’s Top 500 Enterprises, Lands in Changzhou High-tech Zone; Total Investment Equals US$58.4 Million

CHANGZHOU, China, June 21 /Xinhua-PRNewswire/ -- Changzhou National Hi-Tech District (CND) announced today that on June 19, Japanese Denso Corporation, one of the world’s top 500 enterprises, established the solely-funded Denso (Changzhou) Fuel Injection System Co., Ltd. in the Changzhou High-tech Zone, Jiangsu Province. The Company’s business license has also been granted, with the event being reported by many Japanese media including Nikkei Business Publications and Jiji Press.

With a total investment of US$58.4 million, and a registered capital of US$25.4 million, this project will mainly focus on production of the common rail fuel injection systems for heavy-duty diesel engines. This system can inject diesel into cylinders under high pressure to increase the vehicle’s mileage and to help reduce emissions and noise levels. Currently, nearly all the diesel engines in China adopt the standard pump to transmit fuel to cylinders. The local production of the common rail fuel injection system will meet the Chinese customers’ need to reduce costs and lower pollution levels. The construction of the new company is scheduled to be started in October 2007, and is expected to be completed in August 2008. Operations at the new venture are expected to commence in July 2009, and the yearly sales volume is expected to reach US$150 million by 2012.

Denso Corporation is the biggest automotive components & parts manufacturer in Japan, and is also the third biggest in the world, ranking 207 among the top 500 enterprises in the world. Originally an enterprise under Toyota Group, it produces parts and components for many well-known automakers like Toyota, Honda, and Germany’s Volkswagen, with yearly sales reaching US$20 billion. Having established manufacturing bases in 60 countries and regions, this corporation established Denso (China) Investment Co., Ltd. in February 2003. It has set up branch companies in Tianjin, Shanghai, and Guangzhou, and at the same time has built 22 manufacturing enterprises in cities including Tianjin, Guangzhou, Shanghai, Yantai, Chongqing, Dongguan, Wuxi, Foshan, and Kunshan. Consequently, it has already accumulated a rich experience in investing in China.

The new company, established in Changzhou by Denso Corporation, is its fourth important manufacturing base of the common rail system. Previously, Denso had set up three bases to produce the common rail system in Japan, Hungry, and Thailand, respectively. Up to now, 20 of the world’s top 500 enterprises have made investments and built 23 plants in the Changzhou High-tech Zone.

Source: Changzhou National Hi-Tech District
Keywords: Auto
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