SHANGHAI – Applying the brand new AGM battery production line, output of Johnson Controls’ Changxing plant, its vehicle battery manufacturing base in Changxing county of Zhejiang Province, has surpassed 3 million units, more than doubled the prior year capacity, according to a company news release on October 31.
Total output capacity of Johnson Controls’ Changxing plant has reached about 10 million units. The plant has thus become the largest automotive battery manufacturing base in China. Currently, the Changxing plant is also engaged in the output capacity expansion project which will be finished in 2017. By then, its AGM output capacity will be further elevated.
“We see growing market demand for AGM batteries, as start-stop vehicles are getting more and more popular in China and around the world,” said Kenneth Yeng, vice president and general manager, Johnson Controls Power Solutions China. “By 2020, around 50 percent, or 15 million new vehicles annually will be equipped with start-stop functionality. We are adding the capacity to meet the market momentum while following our global manufacturing standards to ensure outstanding performance and quality.”
Johnson Controls predicts that by 2020, the number of vehicles equipped with stop-start systems will increase from 25 million to 65 million in North America, Europe and China. In China alone, start-stop penetration for new vehicle production is expected to be around 50 percent.
Stop-start technology can help save fuel consumption of up to 5 percent and it is widely accepted by vehicle drivers.
In the next five years, Johnson Controls will invest $780 million to enlarge its AGM output capacity across the world, and the Changxing plant is a significant part of this project.