DENSO Corporation will relocate Guangzhou DENSO Co., Ltd. (DMGZ), a production company in Zengcheng, Guangzhou, China, to another location in the same city starting from March 2013. The relocation is planned to be completed by December 2013. This relocation is at the request of the Chinese government, which is planning to redevelop eastern Guangzhou. The company will use this relocation request as an opportunity to expand the DMGZ’s plant size to about 1.4 times its current space.
“DENSO will take this opportunity to increase Guangzhou DENSO’s production capacity of automotive air conditioning systems, condensers, and radiators to anticipate and meet the demand from customers in China,” said Akio Shikamura, senior executive director of DENSO’s Thermal Systems Business Group. Construction of DMGZ’s new plant is scheduled to begin in February 2012 and be completed by January 2013, with a total investment of approximately 6.3 billion yen (approximately US$81 million*) by 2013.
DENSO produces automotive air conditioning systems and related components at nine locations in China, and a new car air conditioner plant in Changchun will also start operations in December 2011.
In the Chinese auto market, where vehicle production and sales are expected to grow, DENSO will continue to offer automotive air conditioning systems and other products in response to increasing production by automakers.