BYD Co., China’s largest rechargeable battery maker and a well-known automobile producer, plans to buy a die factory from Japa’s Ogihara Corp to enhance its competitiveness, Reuters reported over the weekend.
The Shenzhen-based firm will take over the leading Japanese metal die maker’s plant in Tatebayashi, Gunma Prefecture to produce high-precision metal dies, which will improve the quality of its auto bodies and other products, according to the report.
The acquisition will help BYD better compete with Japanese and Western rivals, the report said.
BYD, one of the fastest-growing Chinese auto makers, recently increased its planned 2010 capital expenditure by 58percent year on year to ¥ 10 billion to expand its presence in the global market.
Its net profit increased to ¥ 3.79 billion in 2009 from ¥ 1.02 billion in 2008 thanks to the government’s stimulus measures.
Reportedly, BYD will kick off sales of its plug-in hybrid cars to individual buyers in 13 Chinese cities on Monday. The F3DM car was first offered at ¥149,800 to Chinese government agencies and corporations on Dec. 15, 2008.