On June 10, the launching ceremony of the Rugao Scania commercial vehicle project and the construction of the Scania Rugao manufacturing base was held. This project is also the first batch of wholly foreign-owned commercial vehicle projects after my country’s liberalization of foreign shareholding restrictions in automobile manufacturing. Hu Guangjie, Vice Governor of Jiangsu Province, delivered a speech via video. Leaders and guests including Wang Hui, Secretary of Nantong Municipal Party Committee, and He Mochi, President of Scania China Group, attended the project launching ceremony.
▲Participating leaders and guests jointly launched the project
▲Mr. Ino C. Moberg, general manager of Scania Manufacturing (China) Co., Ltd., introduced the project.
Scania (SCANIA) is one of the world’s leading manufacturers of heavy-duty vehicles, founded in 1891 in Malmö, southern Sweden. Scania’s products are sold in more than 100 countries and regions around the world, and with its technologically advanced modular systems it has become one of the most profitable companies in the commercial vehicle industry.
In May 2020, Scania China’s production plant settled in Rugao Economic and Technological Development Zone as a sole proprietorship, becoming Scania Group’s third production base in the world after Europe and South America.
After the project was settled, the Rugao Municipal Party Committee and Municipal Government immediately set up a special class for major projects, started the full life cycle tracking service, and provided all-weather, zero-delay convenient services for the project.
At the same time, the recruitment and training of employees in Scania factories has also been launched.
Rugao No. 1 Secondary School and Nantong Vocational University have established school-enterprise cooperation with Scania, and continue to supply talents for the local automobile manufacturing industry.
He Yijun, Secretary of Rugao Municipal Party Committee and Secretary of the Party Working Committee of Rugao Economic and Technological Development Zone, said in his speech:
Scania Group has rich industry experience, leading technical support and excellent product quality in the field of commercial vehicles. As a benchmark among global heavy-duty truck and bus manufacturers, its products are exported to more than 100 countries and regions in the world, and it is a century-old car company that enjoys the reputation of the king of highways. The launch of the Rugao Scania commercial vehicle project this time is also the first batch of wholly foreign-owned commercial vehicle projects after my country’s liberalization of foreign shareholding restrictions in automobile manufacturing. The production base will definitely add new contributions to the development of Rugao’s automobile and parts industry, and have a positive and far-reaching impact on the development of the manufacturing industry in Rugao and Nantong.
The cooperation between Scania and Rugao will surely create a situation of “mutual benefit and win-win”, and accelerate the breeding of a new model in the field of heavy trucks in China on the fertile soil of Rugao. Rugao promised to show the greatest sincerity and strength to support the project construction, and make every effort to promote the early completion of the project, increase capacity and expand production. It is hoped that Scania Group and Rugao can further expand the space for government-enterprise cooperation, promote Nantong and Rugao to overseas enterprises, and drive more foreign capital to invest in Rugao. Rugao will strive to create a first-class “Ruyi” business environment for all investors, making Rugao a land of openness, inclusiveness and dynamism.
It is understood that the Scania project will build a heavy truck production base, engine factory and R&D center with an annual production capacity of 50,000 units in Rugao, and will adopt Scania’s global parts supply system. In addition to meeting the needs of the Chinese market, the products will also be exported to other countries around the world. At the same time, with the development of specialization in the transportation market, Scania, with its localization rate of more than 80% and the application of the latest technologies and processes, will greatly shorten the vehicle delivery cycle compared with traditional imported vehicle products.
Scania China project
The first phase will build a comprehensive production line
As well as office space and supporting facilities
Simultaneous construction of R&D center
The base is scheduled to be completed and put into operation in 2024
This is a milestone in China’s commercial vehicle industry
Mats Harborn, President of Scania China Group, said in his speech: Since entering China in 1965, Scania, as one of the leaders in the global transportation industry, has continuously introduced new ideas and new concepts to the Chinese market. Compliance and high-end are two obvious trends in today’s Chinese market, which makes Scania’s industrial investment in China just at the right time.
As the Group’s third production base in the world, Rugao Manufacturing Base has been determined to use green electricity and renewable fuels from the very beginning of design and construction, and it is a true zero-emission factory. Biogas produced from local sewage sludge, kitchen waste and other biomass will serve as the main energy supply for the factory, fully realizing a circular economy and achieving carbon emission reduction goals.
Hu Guangjie, Vice Governor of Jiangsu Provincial People’s Government, said in his video speech: The majority of foreign-funded enterprises are not only witnesses and participants of Jiangsu’s open development, but also steadfast companions and contributors to Jiangsu’s high-quality development and modernization. Today, the Scania commercial vehicle project settled in Rugao, Nantong, which is a powerful “vote of confidence” for the development environment of Jiangsu, and will surely inject new strong impetus to promote the high-quality development of the auto industry in our province. It is hoped that Scania will further accelerate the project construction, strive to release products earlier, enlarge the brand effect, strengthen cooperation with upstream and downstream enterprises in the industrial chain in the province, and attract and drive more high-quality supply chain supporting enterprises and R&D institutions to set up in Jiangsu.