Bosch Group (China) FY2005-FY2007
- Between 2005 and 2006, the Bosch Group's China operations made a significant step forward by setting up a number of new facilities to manufacture diesel engine systems, automotive electronics products, and electrical drive systems. It also enhanced its local development structure as it launched operations at its two new technical centers, one in Wuxi and the other in Suzhou in Jiangsu Province; and established a winter testing center in Yakeshi, Hulunbeier, Inner Mongolia. The Yakeshi facility is still under construction as of December, 2007.
Diesel engine systems :
New Diesel System Plant and Technical Center in Wuxi
- In November 2005, Bosch Automotive Diesel Systems Co., Ltd. began producing common rail high-pressure fuel injection systems at its new plant. Its new Bosch Diesel Technology Center started R&D activities on diesel engine systems in the same month. Further, the Company plans to spend 200 million euros in order to install advanced equipment to manufacture and develop cutting-edge diesel systems by 2007.
- In June 2006, the Company won an exclusive supply contract from Weichai Power Co., Ltd., China's leading diesel engine supplier, to provide diesel injection systems for all the 126 mm bore engines made by Weichai Power. Also, in August the same year, its automotive energy and body system divisions won new business from Weichai to supply entire starters and alternators for 126 mm bore engines.
- In November, 2007, Bosch Automotive Diesel Systems Co., Ltd. and Dongfeng Motor Co., Ltd. came to agreement on the framework to form a long-term strategic business alliance. The agreement calls for the two companies to collaborate in the area of diesel engine systems in order to prepare for the tougher China lll emissions standards that are scheduled to go into effect in the country.
New Technology Center for Automotive Safety Systems in Suzhou
- In April 2005, the Company established Bosch Suzhou Technology Center within the premises of Bosch Automotive Products (Suzhou) Co., Ltd. The 60-million-euro Center hired approximately 220 employees and is built on 200,000 square meters of land. The development focus is automotive safety products such as ABSs, ESPs, and brake systems. The Company intends to expand the facility in phases, which will allow it to take on approximately 300 workers by 2008.
- In October 2006, the Company built a proving course on 36,000 square meters of land at the Bosch Suzhou Technology Center. Activities on the testing ground include measuring and checking chassis control systems such as ABSs, TCSs, and ESPs.
Establishing winter testing center
- In July, 2007, Bosch drove in plies at the site of its new technology center in Yakeshi, Hulunbeier, Inner Mongolia. With a land area of 540,000 square meters, plus a frozen ground area of 1,320,000 square meters, the new facility will have winter proving-grounds that will be under freezing conditions, as well as grounds that will not be frozen. In addition, the facility will have testing buildings. The technology center planned to be completed in 2008 and will become the Group's most cutting-edge and largest winter road testing center in terms of land area and scale of investment. The company, which launched studies on the project in November 2004, obtained approvals from the Yakeshi officials in September, 2006, stating that the city will assist the project. Yakeshi's snowy, winter climate extends over the period of some six months. Its average temperature is minus 20 degrees, making the location ideal for carrying out winter road testing. The 150 million yuan investment will reinforce Bosch's local operations and technological capabilities in China, allowing the company to continue providing Chinese automakers with the latest car safety technology.
Automotive electronics products:
New facility for producing electronics products
Bosch Automotive Products (Suzhou) Co., Ltd. completed construction of a new plant that will manufacture automotive electronics products. This new facility will manufacture cutting-edge control units used in airbags, ABSs, ESPs, diesel engine management systems; and body electronics components such as wiper motors, window lifters, door control units, and body computers.
Electrical drives / Starter motor alternators:
New facility in Changshai
- In February 2006, Bosch Automotive Products (Changsha) Co., Ltd. completed construction of a new plant to produce motors such as window motors, engine cooling motors, and wiper motors in the Xingsha Development Zone, Changsha, Hunan Province. Bosch China established Bosch Automotive Products (Changsha) in December 2004 by acquiring the starter and alternator production business of CNAIC Changdian Co., Ltd. Commercial operations at this Changsha facility commenced in May, 2006.
New facility in Jinan
- ZF Commercial Vehicle Steering (Shandong) Co., Ltd. (located in Jinan, Shandong Province) began commercial production in November 2006, with the construction work of the new plant having been completed. ZF Commercial Vehicle Steering (Shandong) is a joint venture established in 2005 between Bosch of Germany and ZF Lenksysteme GmbH. It manufactures mainly steering systems for commercial vehicles.
|Establishing a technical center for electronics brake system in Suzhou||Completed in April 2005|
|Establishing a technical center for diesel engine systems in Wuxi||Completed in November 2005|
|Establishing a plant to manufacture common rail high-pressure fuel injection systems in Wuxi||Completed in August 2005|
|Building a new motor plant of Bosch Automotive Products (Changsha) Co., Ltd.||Completed in February 2006|
|Expanding the automotive electronics plant at Bosch Automotive Products (Suzhou) Co., Ltd.||Completed in May 2005|
|Establishing a chassis system proving-ground at the technical center in Suzhou||Completed in October 2006|
|Establishing a winter test center in Yakeshi, Inner Mongolia||The construction work, which started in July 2007, is scheduled to be completed in 2008.|
Major Capital Investment Projects for
-The Group plans to invest approximately 620 million euros in China between 2006 and 2008. The investment focus will be on strengthening its development and production structure to support automaker OEMs. Following are some of the major projects:
(1) A new plant construction project worth 1 million euros in investment at Bosch Automotive Products (Suzhou) Co., Ltd. in order to start producing airbag control units, ABSs, and ESPs at the Company.
(2) An expansion project, which is worth approximately 60 million euros in investment, at Bosch Automotive Products (Changsha) Co., Ltd. The expansion will allow the company to strengthen its development and production structure for starters, alternators, motors, and wiper systems. The land area of the facility will be expanded to 210,000 square meters.
(3)A 200 million euro expansion project at Bosch Automotive Diesel Systems Co. Ltd. that will enable the company to develop and manufacture leading-edge diesel engine systems.
- From 2007 through 2008, Bosch will construct a winter testing center in Yakeshi, Inner Mongolia by investing a total of 150 million yuan. With a land area of 540,000 square meters, plus a frozen ground area of 1,320,000 square meters, the new facility will have two types of winter proving-grounds, with one used under freezing conditions and the other used under non-freezing conditions. The facility will also have in-door testing facilities.