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It is the second China Car Electronics announcement in four months signaling that Japans Mitsubishi Electric aims to relax and play a bigger role as a possible electronics supplier towards Chinese car industry. The firm, a sizable maker of electrical and electronic components and equipment, announced in March so it was establishing a new Chinese unit, Mitsubishi Electric Automotive (China).
The joint venture with QiMing announced this month lets Mitsubishi Electric it to cultivate its automotive business, particularly in China, where it expects interest in in-car multimedia equipment to pick up as economic prosperity increases.
QiMing I . t . Co holds 51 pc of the jv, while Mitsubishi Electric should have a 33 pc stake. Mitsubishi Electric (China) may have a ten pc holding and Koshida Corp will own 6 pc.
In March, Mitsubishi Electric Automotive (China) said the establishment of its subsidiary in Changshu, Jiangsu Province, would help it grow automotive equipment sales from the worlds biggest car market.
China unit, that is anticipated to begin operations in April next year, should help Mitsubishi Electric boost automotive sales to 50 billion yen 1 year by 2016, the ocmpany said.
Mitsubishi Electric Automotive (China) will manufacture and selling energy steering equipment, automotive multimedia products and other automotive equipment in China, by using a workforce of 500 employees available by March 2016.
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