German optical giant Zeiss breaks ground on US$25 million plant in Suzhou in vote of confidence in China

[onebyone]

German optical giant Zeiss breaks ground on US$25 million plant in Suzhou in vote of confidence in China​

• The Suzhou facility will be for R&D and manufacturing of ophthalmic equipment, and comes after a US$60 million investment in Shanghai
• In the first eight months of the year, foreign direct investment in China increased 16.4 per cent year on year, reaching 892.7 billion yuan

View of Suzhou City, Jiangsu Province, China. Photo: Shutterstock Images.
Carl Zeiss AG, the German optical systems giant, has broken ground on a new plant in the eastern Chinese city of Suzhou, bucking a trend of multinationals reducing their dependence on “the world’s factory floor” amid rigid coronavirus controls and rising geopolitical tensions.
Work on the new factory, in the Suzhou Industrial Park, kicked off on Tuesday, the company said in a statement. With a US$25 million investment, the facility will be used for R&D and manufacturing of ophthalmic equipment.
Zeiss China president Maximilian Josef Helmut Foerst said the company has always been confident in China’s growth and that the new facility reflects its commitment to “deepening its roots in the market”, according to the statement.

German optical giant Zeiss breaks ground on US$25 million plant in Suzhou

Zeiss’ investment bucks the trend of multinationals trying to reduce their dependence on the world’s second largest economy amid its strict zero-Covid policies and geopolitical tensions

www.scmp.com

 

[AViet]

This kind of precise products can only be manufactured with in countries with very high quality of workmanship, like China or Japan in the East and Germany and Switzerland in the West, regardless of how cheap the labor rates in other countries are. Neither Russia nor the US can manufacture them at commercial scale.