MAHLE Group China Business Report FY ended Dec. 2014

New Company

-Bosch Mahle Turbo Systems (BMTS), a joint venture between Bosch and Mahle, announced that it has established Bosch Mahle Turbo Systems (Shanghai) Co., Ltd., a wholly owned production subsidiary in Shanghai, China. The subsidiary is constructing a factory on a 5,000-square-meter-plot within the premises of Mahle’s existing Shanghai facility. The new plant will be operational in the first quarter of 2014, and will initially produce turbochargers and gasoline engines for the Chinese market. Approximately 100 employees from BMTS Austria and BMTS Germany will be transferred to the Shanghai Plant. The plant will be able to produce 1 million turbochargers per year. (From a press release on February 14, 2014)

-In August 2014, Shanghai Behr Thermal Systems Co., Ltd. (SBTS), a joint venture between MAHLE Behr GmbH & Co. KG and Shanghai Sanden Behr Automotive Air Conditioning Co., Ltd., opened another plant in Shenyang, China. It is the fifth production location of the Thermal Management business unit in China and is specialized in the manufacture of products for vehicle air conditioning and engine cooling.

-In June 205, Shanghai Behr Thermal Systems Co., Ltd. (SBTS) will officially open its first plant in Chengdu, China, which is in the immediate vicinity of the Volkswagen and Volvo plants. Air conditioners as well as engine cooling components and systems will be manufactured there.

Recent Development

-Bosch Mahle Turbo Systems started operations at Bosch Mahle Turbo Systems (Shanghai) Co., Ltd., the Bosch-Mahle joint venture's first plant in China in November 2014. The new plant was built on approximately 5,000 square meters of land within Mahle's Shanghai facility. The plant is capable of producing 2 million turbochargers per year. These turbochargers will be used on gasoline engine vehicles sold in China. (From news releases issued by multiple sources on November 26, 2014)

-MAHLE Group China announced that Mahle Filter Systems (Hubei) Co., Ltd., its new production facility in Wuhan, began operating in August 2014. Investment in this company totaled EUR 75 million. The plant will produce automotive filter systems and engine components such as air filters, intake manifolds, engine cylinder head covers, and oil coolers for Nissan, Dongfeng Peugeot-Citroen, General Motors, Honda, Volvo, Suzuki, Renault and other companies. Its annual production capacity is expected to reach 2 million units and sales are forecast to total CNY 1 billion per year. (From news releases issued by multiple sources on August 13, 2014)

R&D Facility

-Mahle announced that it completed the expansion of its research and development center located in the suburbs of Shanghai. Approximately 15,000 square meters of production space and 3,200 square meters of office space have been added to the facility. The expansion project includes Bosch Mahle Turbo Systems' factory that will produce tools for filters and engine auxiliary components. (From news releases issued by multiple sources on December 2, 2014)

Name Mahle China R & D Center
Year established 2005
Start of operations April, 2006

Investment in China

-In 2014, the Group will have four new plants in China and Indonesia which will come into operation.