Jiangsu General investing 400 million euros in Chinese car tyre factory
With annual sales of $523.82 million in 2020 and at around this level for the last five years, Jiangsu General Technology Co. Ltd, is clearly a growing international player – a point that is underlined by its recent factory investment plans (Source: Morning Star)
Jiangsu General Technology Co. Ltd, which is known as General Science or Jiangsu General, has announced plans to invest 3.061 billion yuan (£341.930 million; 399.958 million euros; US$473 million) in the construction of a 10.2 million tyre a year factory in Anqing, Anhui Province, China. The announcement of the new Chinese production base follow plans for investment in the construction of a separate factory in Cambodia.
According to stock market filings, General Science chose Anhui Province because it “is an important automobile industry base in the country.” Specifically, the formation of Chery Group, Jianghuai Automobile, Hefei Changan, Weilai Automobile, Hanma Technology into “vehicle production clusters” made it an attractive option. Anhui Province is also targeting the electric and autonomous vehicle industries in its “14th Five-Year Plan”.
In order to execute its plans, Jiangsu General is forming a subsidiary tentatively called General Rubber (Anhui) Co. Ltd, which will be registered in Yuanmeng New District, Anqing City, Anhui Province. The company believes its investment will pay for itself in 8.55 years.
General Science makes tyres under the Chituma brand, according to the company’s website. Multiple financial and news sources report that General Science also makes Maxima, Red Horse, Qi Ma, Starwood Pass, and Express-branded tyres.
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