WUHAN, China — GKN has opened its 11th plant in China. The new driveshaft facility is wholly-owned by Shanghai GKN Drive Shaft, a joint venture between GKN and Shanghai Automotive Industry Corporation (SAIC).
The plant, in the Wuhan Economic Development Zone, is close to the headquarters of the Dongfeng Automotive Group, one of the top four automotive companies in China. The new Shanghai GKN facility at Wuhan will supply vehicle manufacturers in central China, including Dongfeng Auto, Dongfeng Citroen, Dongfeng Nissan and Dongfeng Honda.
The new 44,000-square-metre facility has been constructed over the last 12 months at a cost 230 million RMB (approximately $34 million).
The facility is scheduled to produce 500,000 sideshafts in 2010 with production expected to increase to 1 million sideshafts by 2011 and 2 million sideshafts by 2012.
The new Shanghai GKN facility officially opened on Nov. 24 by Sir Kevin Smith, chief executive of the GKN Group; Shen Jianhua, president of SAIC; and Yang Sang, vice party chief of Hubei Province.
Speaking at the opening ceremony, Smith noted that GKN was the first major European automotive supplier to invest in China and today is the country’s leading producer of driveline components.
"China is the fastest growing market in the world,” Smith said. “Our many years of cooperation with SAIC have proved to be a most successful partnership. Shanghai GKN serves as an industry model for successful joint-ventures in China and we anticipate continued growth for years to come. We have extended our relationship with SAIC for another 50 years and look forward to growing together in the Chinese automotive market."
