(Yicai Global) May 22 -- Shanghai Kelai Mechatronics Engineering Co. has agreed to build a production line for new-energy vehicle parts at a factory run by a Robert Bosch GmbH subsidiary.
Kelai penned the CNY26.5-million (USD4.2-milllion) deal with Bosch Automotive Products Suzhou Co., which runs a plant in Jiangsu province, the automation equipment supplier said in a statement on May 21.
The production line will be used exclusively to assemble and test NEV parts as Bosch looks to build on its iBooster braking system. Many car and parts makers are shifting towards electric vehicles as some of the world's biggest auto markets look to ban petrol and diesel cars within the next 20 or so years. Sales in China's NEV market grew 30 times faster than the global average last year, turning the nation into a proving ground for manufacturers looking to make the switch to new energy.
The contract will help Kelai deepen ties with Bosch and develop into overseas market, the statement added. It will also help the firm use its flexible production lines and industrial robots in the cutting-edge field of automotive electronics and prepare for more NEV-based jobs.
Editor: James Boynton