Boeing and Ford set to Expand their Production in China
The U.S. multinational giants Boeing and Ford are surging ahead in China with their ambitious expansion plans, shrugging off the ongoing slowdown that has dragged the second largest economy into mire of economic problems.
The aviation giant Boeing will start manufacturing planes from its first oversees factory in north-eastern Chinese city of Zhoushan by end of March this year. The factory has set the goal to produce 100 '737 planes' per year, with the first production batch expected to kick-start in 2018, Chinese state media reported.
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Boeing's soaring ambition is based on its recent positive outlook that anticipates prolific growth for China's aviation market. In September last year, the American aviation company said that it expects China to become the world's first trillion-dollar aviation market in next two decades.
Boeing's archrival Airbus had long before realized the potential of the Chinese aviation market, with the French aviation giant setting up its first assembly line factory in the Asian country way back in 1994. Airbus China announced last year it delivered 153 aircraft to Chinese aviation companies last year, marking seventh consecutive year that the aviation delivered more than 100 planes to Chinese operators.
Ford Motors also Betting big on China
The U.S. auto giant Ford Motors has also set itself on an expansion bandwagon for the Chinese market. The company announced that it will soon set up a factory in China to manufacture the all new SUV brand 'Lincoln.' The luxury SUV brand has already caught the imagination of the Chinese customers, with the sales figure touching a new high last year.
Interestingly, the China's auto market completely bucked the economic slowdown last year, with several big auto companies clocking impressive sales growth last year. Buoyed by the growth, several auto companies like Honda, Hyundai and Volkswagen have already announced their expansion for the Chinese market.