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5. Aisin Group (China) Business Report FY ended Dec. 2016

Aisin Group (China) Business Report FY ended Dec. 2016

Recent Development

-Aisin Tianjin Auto Body Parts Co., Ltd. announced in January 2015 that it has completed its construction project to add its production capacity. The five-phase project has increased the company's annual production capacity to the following levels: door locks: 1.1 million units; window regulators: 1.08 million units; door hinges: 1.5 million units; hood hinges: 1.5 million units; seats: 290,000 units; door frames: 1.86 million units; moldings: 1.75 million units; door handles: 780,000 units; and sun roofs/sun roof glass: 380,000 units. (From a press release on January 6, 2015)

Awards

-AW China Co., Ltd. received the following awards in 2016:
the Quality Achievement Award, the Superior Cost Performance Award, and the Best Collaboration Award from Toyota Motor (Changshu);
the Excellent Quality Award from Tianjin FAW Toyota;
the Excellent Development Award from SAIC,
and the 2015 Top 10 Supplier Award from FAW Car.
(From a press release on March 25, 2016)

R&D Structure

-Aisin (Nantong) Technical Center of China Co., Ltd. began operations on July 5, 2016. The new research center covers an area of 26,000 square meters in the Nantong Economic Technological Development Area. Research facilities were constructed on 12,000 square meters of land in the first phase of the construction project. The center develops, designs, tests, and evaluates automotive components, and also offers related technical and consulting services. The center is Aisin Seiki’s second technical center outside Japan, following the center in the U.S. (From news releases issued by multiple sources on July 22, 2016)

Investment in China

-Tangshan Aisin Gear Co., Ltd. began expansion of its transmission plant. The total investment in this project is expected to reach CNY 128 million. The project includes additions of 2 assembly lines, 2 grinding lines, and 1 transmission case line. After the construction is completed, the plant will be able to produce 100,000 F621 series manual transmissions and 100,000 AF52 series automated manual transmissions per year. The company supplies its products to OEMs including Tianjin FAW Toyota, Sichuan Toyota, Shenyang Brilliance Jinbei, and Great Wall Motor. (From news releases issued by multiple sources on July 8, 2016)

-The third phase project of Tangshan Aisin Automotive Parts Co., Ltd. was finished. The company invested CNY 350 million in this third phase of the construction project, which has a total floor area of 32,063.72 square meters. The new facility will produce automotive parts, precision blanking die, etc. The operating income will increase CNY 380 million. Including the third phase, the company has already been invested CNY 1.5 billion in total, which is Aisin Seiki's the largest monomer project in China. (From news releases issued by multiple sources on May 27, 2015)

Source: China Automotive Industry Yearbook (Issued every October)

Source: China Automotive Industry Yearbook

Source: China Automotive Industry Yearbook (Issued every October)