Autoliv is expanding its Shanghai plant, in a move to boost electronics manufacturing capacity in the Chinese market.
The Stockholm-based maker of automotive safety systems and components said it is adding Â 4,000 square meters to its Shanghai plant to boost local electronics manufacturing capacity by 50 percent. The plant expansion will cost 13 million dollars.
Global production capacity will rise by 15 percent as a result of the Chinese expansion.
Once the plant is ready, Autoliv can build more than 5 million electronic control units (ECUs) for airbags in China, as well as 10 million crash sensor units. The company said some of the output will go to global customers outside China.
Autoliv has six facilities for electronics in Canada, China, France, Sweden and the US. They manufacture and develop ECUs for airbag systems, crash sensors, radar and night vision systems.
Currently, Autoliv has 12 percent of its sales and personnel in China, up from 10 percent in 2009 and 4 percent in 2007.