Nissan Opens New Plant in China

Japanese manufacturer Nissan announced yesterday it will open, together with it Chinese partner, Zhengzhou Nissan, it's second plant in the country. Located in Zhengzhou, Henan Province. The facility will increase Nissan's local output to 1.2 million units over the next few years.

For now however, the production number will increase from 60,000 units to 200,000, with the plan being that by 2012 the production will reach 240,000 units. The new plant will be used to manufacture the models which are currently produced in Dongfeng Nissan's Huadu Plant in Guangzhou City, Guangdong Province, namely the X-Trail and Qashqai.

"The start of production at Zhengzhou Nissan's second plant is a significant step forward because this plant is a tangible symbol of our growth strategy and the demanding goals we have set in China,” Nissan's CEO Carlos Ghosn said.

In addition to increasing its output capacity, Nissan will also help the local economy. The carmaker says its investment (which, according to Nissan was of around RMB 1 billion, or 12.3 billion yen) in the new facility will help create 1,400 jobs in the region. For now, that is, as more investment and expansion of the Japanese manufacturer in China are planned.

“Our investment in Zhengzhou Nissan's second plant will also help strengthen the economy of the Zhengzhou City area,” added Ghosn, the man who leads both Nissan and Renault..

"And because we expect to build cars with a high level of localization, production here will promote the growth of local suppliers in the Zhengzhou area, contributing to a more robust automotive industry in this region."