The automotive supplier Bosch is investing almost one billion euros in a new center in China.
The group, which is considered the largest automotive supplier in the world, announced this late Thursday afternoon.
In the new center in Suzhou near Shanghai, the company wants to research, develop and manufacture components for electromobility and automated driving.
Bosch will work in the plant "mainly for Chinese automakers," according to the statement.
The center will be 300,000 square meters.
Gustave parts
Business correspondent in Stuttgart.
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Bosch has been active in China since 1909, emphasizes the long-established foundation group in its press release.
The investment is "an important step on the way to future mobility in the world's largest car market," says Bosch boss Stefan Hartung.
With the new location, the company is strengthening its local competence and global competitiveness.
Bosch employs a total of 55,000 people in China, and the group already operates four plants with 10,000 employees in Suzhou alone.
One of the plants has been recognized by the World Economic Forum as a beacon for smart production.
Bosch defends cooperation with China
The investment comes at a time when German politicians are repeatedly appealing to the automotive industry to become less dependent on China.
Many corporations are trying to separate the supply chains according to world regions.
But that doesn't mean they're investing less in China.
Bosch boss Hartung repeatedly warns against withdrawing from China, instead of turning back globalization, one must intensify it, he told the FAZ last summer "China needs the world, just as we need China."
Bosch currently makes about a fifth of its sales in China.
The group already supplies many Chinese manufacturers.
Electric cars are becoming increasingly popular in the People's Republic.
Chinese manufacturers in particular are enjoying increasing popularity and are increasingly expanding into Europe.