Taizhou: A new hub for foreign investment

Zhejiang Aisin Hongda Automobile Parts Co Ltd is located in Taizhou's Luqiao district. [Photo/taizhou.com.cn]

Taizhou in East China's Zhejiang province is emerging as a highly desirable destination for foreign investors. Among the many companies allured by the city's potential is Zhejiang Aisin Hongda Automobile Parts Co Ltd, a Japan-funded venture.

Established in June 1995, with a registered capital of $10 million, Aisin Hongda is a joint venture between Aisin Corporation and Toyota Tsusho Corporation. Its primary focus lies in the production of automotive water pumps, motors, and other essential components.

Taizhou is in a strategic location that acts as a transportation hub connecting the northern and southern regions. It also offers unparalleled logistical advantages for manufacturing enterprises like Aisin Hongda. Moreover, the city boasts a thriving business environment, enriched by a cluster of competitive enterprises. These factors have been crucial to Aisin Hongda's successful operations in Taizhou, noted a higher-up at the company.

Recognizing the burgeoning popularity of electric vehicles, Aisin Hongda made a strategic decision to diversify and upgrade its product range. However, due to spatial limitations in their existing factory, accommodating this expansion posed a challenge.

The local authorities took proactive measures to address the land-use issues. Through the coordinated efforts of all parties involved, a new factory in Pengjie town was completed and put into operation in November 2020. Covering an area of 80,000 square meters, this new facility has laid a solid foundation for Aisin Hongda to capture opportunities in the new energy vehicle component market.

The positive experience of Aisin Hongda in Taizhou has been highlighted by company representatives, who have praised the friendly nature of the local people and the livability of the city. They express hope that more foreign companies will consider Taizhou for investment and entrepreneurship in the future.

Aisin Corporation, the parent company of Aisin Hongda, is a global supplier of automotive components. Currently, it ranks 409th among the Fortune Global 500 companies and holds the seventh position in the global automotive component industry.