(Yicai Global) Aug. 9 -- Vehicle wheel manufacturer Xingmin Intelligent Transportation Systems Group will get local help in building a new headquarters in central China's city of Wuhan to focus on smart car networking.
Xingmin signed an investment agreement with the committee of Wuhan East Lake High-Tech Development Zone, with an initial investment of CNY1.5 billion (USD219.7 million), the Shandong province-based auto parts manufacturer said in a statement yesterday. The second part, a still undecided sum, will be invested n 2020.
Local government will grant Xingmin's Wuhan-unit with income tax and value-added tax breaks if the project is finished in a certain timeframe. Executives' personal income tax garnered from the project will also be reduced. The high technology development zone will sell 3.3 hectares of land for the project with the benchmark price of CNY3.9 million (USD571,000) per hectare.
Xinmin will first build a production line and data center for vehicle terminal T-Box, with an annual production capacity of 1.2 million devices. The company will later invest in marketing and testing.
Editor: Emmi Laine