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19-03-2013 | China | Corporate News

1.1 billion RMB – largest investment worldwide for Automotive Aftermarket in a manufacturing facility

  • Strengthened strategy of spare parts, workshop equipment and services from a single source
  • Production of spark plugs, brake components and diagnostic equipments for both independent aftermarket and original equipment services
  • R&D hub providing tailor-made and competitive solutions for Asia Pacific

Nanjing – Bosch, a global supplier of automotive technology and services, opens a new plant in Nanjing, China. The new plant will serve as the production base as well as research and development (R&D) hub for Bosch's Automotive Aftermarket division in the Asia Pacific region. The company invested 1.1 billion RMB in the site, which buildings cover a total has a building space of some 86,000 square meters. Located in the Nanjing Economic and Technological Development Zone, the new site develops and produces spark plugs, brake components and diagnostic equipments for both the independent aftermarket and original equipment services. Currently employing more than 2,000 associates, the new plant is expected to employ a total of some 3,500 associates by 2015.

"Choosing China for the largest investment of Bosch Automotive Aftermarket ever in a manufacturing facility worldwide, demonstrates our confidence and commitment to the growing markets in China and the Asia Pacific region", said Robert Hanser, president of Bosch Automotive Aftermarket at the inauguration ceremony on March 20th. "The new production base and R&D hub will help us to better meet the various demands of regional customers with more flexibility and a shorter response period."

Development and manufacturing in China for the Asia Pacific market

The Nanjing plant specializes in manufacturing safe and reliable auto parts with consistent quality. It is expected to reach an annual production capacity of 125 million spark plugs, 80 million brake pads and 25,000 units of diagnostic equipment per year by 2015. Having adopted the latest manufacturing technology and processes of the Bosch Production System, the new plant will ensure the same high level of product quality achieved in every Bosch manufacturing site around the world.

Being the largest and most modern production base for spark plugs of Bosch worldwide, the plant has notably introduced the new continuous wave laser welding technology to ensure the homogeneity, reliability and durability of welding for each spark plug. Here, ceramic material with a dielectric strength of over 40 kilovolt can be produced, enabling the provision of spark plugs to power the latest direct injection engines equipped with turbochargers. Moreover the plant boasts state-of-the-art test benches and test equipments dedicated to the production of high performance brake components.

Automotive electronic systems get more sophisticated and diagnostics equipments will play an increasingly important role in setting up efficient and reliable car services in future workshops. In the new production base in Nanjing, Bosch Automotive Aftermarket locally manufactures the diagnostic equipments including tyre changers, wheel balancers, brake testers, wheel aligners as well as motor testers for the first time in China.

With a team of over 100 engineers, the R&D hub will be home to spark plugs, brake components, and diagnostic equipments for the Asia Pacific region, to provide tailor-made and competitive solutions for a full range of vehicles in the Chinese and Asia Pacific markets.

Significant investment to seize further business opportunities

The opening of the Nanjing plant is the latest milestone of a series of strategic investments of Bosch Automotive Aftermarket in China such as the recent opening of our self-operated Bosch Car Service workshop in Beijing - the first flagship workshop in the Asia Pacific region, the acquisition of Unipoint and SPX Services Solutions. "This is another significant step by Bosch Automotive Aftermarket to seize future business opportunities in growing markets and achieve long-term stable growth", Robert Hanser adds. "As a strong automotive partner, Bosch Automotive Aftermarket is dedicated to providing safe, reliable auto parts with high quality as well as services for our customers and consumers."

Commitment to local economy and employment of Nanjing

Established in Nanjing several years ago, Bosch took the decision to relocate its Automotive Aftermarket plant to support the inner city development and make space for the new Muyan scenic area. The opening of the new plant presents Bosch's latest effort to continue its long-term collaboration with Nanjing and will further boost local economy and employment. Aiming to develop high-qualified technicians, the new Bosch Automotive Aftermarket plant has started the dual education apprentice class program in Nanjing in July 2012. Recognizing the importance of qualified technicians to a manufacturer like Bosch, the program not only helps to solve the labor shortage problem, but also reinforces the existing strong manufacturing capacity.

As part of its commitment to local civil society and as a responsible corporate citizen, Bosch has adopted energy-saving and eco-friendly concepts throughout the new manufacturing site. Carbon emission reduction is a major focus point in this area. 14 million RMB have been spent for a new fast-sintering kiln in spark plug ceramics production. This state of the art technology within Bosch worldwide can save 1,100 tons of carbon dioxide annually.

The Bosch Group is a leading global supplier of technology and services. In 2012, its roughly 306,000 associates generated sales of 52.5 billion euros. Since the beginning of 2013, its operations have been divided into four business sectors: Automotive Technology, Industrial Technology, Consumer Goods, and Energy and Building Technology.

The Bosch Group comprises Robert Bosch GmbH and its roughly 360 subsidiaries and regional companies in some 50 countries. If its sales and service partners are included, then Bosch is represented in roughly 150 countries. This worldwide development, manufacturing, and sales network is the foundation for further growth. Bosch spent some 4.8 billion euros for research and development in 2012, and applied for nearly 4,800 patents worldwide. The Bosch Group’s products and services are designed to fascinate, and to improve the quality of life by providing solutions which are both innovative and beneficial. In this way, the company offers technology worldwide that is “Invented for life.”

The company was set up in Stuttgart in 1886 by Robert Bosch (1861–1942) as “Workshop for Precision Mechanics and Electrical Engineering.” The special ownership structure of Robert Bosch GmbH guarantees the entrepreneurial freedom of the Bosch Group, making it possible for the company to plan over the long term and to undertake significant upfront investments in the safeguarding of its future. Ninety-two percent of the share capital of Robert Bosch GmbH is held by Robert Bosch Stiftung GmbH, a charitable foundation. The majority of voting rights are held by Robert Bosch Industrietreuhand KG, an industrial trust. The entrepreneurial ownership functions are carried out by the trust. The remaining shares are held by the Bosch family and by Robert Bosch GmbH.

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