Site icon China Economic Review

Compressor firms make the switch

Japanese producers of compressors, the main component used in automobile air conditioning systems, are accelerating their transfer of manufacturing capacity to China, according to a report by Nikkei. Matsushita Electric Industrial is to add a new production line dedicated to making auto compressors at a joint venture in Guangzhou. The line will have a capacity of 150,000 units a year and will target in particular the Chinese passenger car operations of Honda and Toyota.

Sanden Corp plans to start compressor production at a 50-50 joint venture in Shanghai, targeting Shanghai Volkswagen and other automakers. The venture is expected to produce 150,000 units in the first year.

Last year, a joint venture involving Toyoda Gansu and Denso Corp produced 80,000 compressors, supplying firms that include Toyota and Honda.

Exit mobile version