Fuyao Group Invests CNY 2 Billion in Hefei Auto Parts Base

Fuyao Group Begins Construction of Hefei Automotive Production Base

Fuyao Glass Industry Group Co Ltd, also known as Fuyao Group, has begun construction of an automotive trim and mold production base in Zipeng Town, Feixi County, Hefei, Anhui Province, China. According to an announcement by the Hefei Municipal People's Government, a groundbreaking ceremony was held to mark the start of the project. The development is intended to strengthen Hefei's local automotive component supply chain by adding manufacturing capacity and supporting facilities for automotive trim, molds, and related products. The project combines research and development with modern manufacturing and specialized laboratory facilities.

Project Investment, Site Area, and Facilities

The project represents a total investment of CNY 2 billion and is planned for a site of approximately 310 mu, with a total floor area of approximately 260,000 square meters. Its planned facilities include a research and development center, modern manufacturing facilities, and specialized laboratories. Together, these elements will support the development and production of several types of automotive components and manufacturing tools. The project's scale and combination of research, testing, and production facilities are intended to expand the company's automotive manufacturing capabilities in Hefei. The announcement identifies the investment, land area, and planned floor area as key characteristics of the new production base.

Automotive Trim, Intelligent Assemblies, and Precision Molds

The planned product range includes plastic components, intelligent assemblies, electronic modules, and precision molds. These products represent several areas of automotive component manufacturing, while the inclusion of a research and development center and specialized laboratories provides dedicated facilities for development and testing activities. The project is designed to bring these functions together within one production base rather than focusing solely on a single component category. The announcement does not provide individual production targets for each product type, nor does it specify the detailed technical capabilities of the planned intelligent assemblies or electronic modules. Its stated scope covers a broad range of automotive trim components and molds.

Production Timeline and Expected Annual Output

Construction is underway, and the project is expected to be completed and begin production in the second half of 2027. Once the facility reaches full production capacity, it is expected to produce more than 40 million sets of various automotive trim components and molds each year. The projected annual production value is approximately CNY 3 billion. These figures describe the expected output and production value at full capacity, not necessarily the facility's results immediately after production begins. The announcement does not specify a staged production ramp-up schedule or provide separate output figures for individual product categories. The completion and production dates remain the project's stated targets.

Hefei's Automotive Component Supply Chain

The Hefei Municipal People's Government has identified strengthening the local automotive component supply chain as an expected benefit of the project. By establishing additional capacity for automotive trim components, intelligent assemblies, electronic modules, and precision molds, the base is intended to expand the range of component manufacturing activities located in the area. Its planned research and laboratory facilities will also form part of the project's broader manufacturing infrastructure. The announcement does not identify specific vehicle manufacturers or customers that will purchase its output, so the extent of future supply relationships has not been detailed. The confirmed project scope centers on the investment, planned facilities, product range, production schedule, and expected full-capacity output.

Project Location and Development Scope

The production base is being developed in Zipeng Town, Feixi County, within Hefei, Anhui Province. The location places the project within Hefei's local automotive component supply chain, which the municipal government expects the development to strengthen. Its planned footprint of approximately 310 mu and floor area of approximately 260,000 square meters provide space for the research, manufacturing, and laboratory functions described in the announcement. The total investment is CNY 2 billion, while the expected annual production value at full capacity is approximately CNY 3 billion. These are separate measures: one represents the project's total investment, and the other represents its anticipated annual production value after the base reaches full capacity.

Industry Impact & Outlook

The Hefei project adds planned manufacturing capacity across automotive trim components, intelligent assemblies, electronic modules, and precision molds, making it relevant to suppliers and manufacturers seeking component production within China's automotive supply chain. Its CNY 2 billion investment and expected annual output of more than 40 million sets indicate the scale envisaged for the facility, although actual results will depend on construction completion, production ramp-up, and achievement of full capacity. The next stated milestone is completion and the start of production in the second half of 2027. Until further details are announced, customer relationships, product-level output, and the timing of full-capacity operations remain unspecified.

Frequently Asked Questions

What is Fuyao Group building in Hefei?
Fuyao Group is building an automotive trim and mold production base in Zipeng Town, Feixi County, Hefei, Anhui Province, China. According to an announcement by the Hefei Municipal People's Government, construction has begun and a groundbreaking ceremony marked the project's start. The planned base will include a research and development center, modern manufacturing facilities, and specialized laboratories. Its intended products include plastic components, intelligent assemblies, electronic modules, and precision molds. The development is expected to strengthen Hefei's local automotive component supply chain.

How much is Fuyao Group investing in the project?
The project has a total planned investment of CNY 2 billion, according to the announcement by the Hefei Municipal People's Government. It is planned for a site of approximately 310 mu and will have a total floor area of approximately 260,000 square meters. The development includes research and development facilities, modern manufacturing operations, and specialized laboratories. The announcement presents the CNY 2 billion figure as the project's total investment and separately estimates annual production value at approximately CNY 3 billion once the facility reaches full production capacity.

When is the Hefei automotive production base expected to begin operations?
The Hefei automotive trim and mold production base is expected to be completed and commence production in the second half of 2027. Construction has already begun, and a groundbreaking ceremony was held to mark the start of the project. The announced schedule identifies H2 2027 as the target for completion and production commencement. It does not provide a detailed construction timetable, phased commissioning dates, or a separate date for reaching full production capacity. Accordingly, the second half of 2027 is the stated target, while the timing of the facility's full production ramp-up has not been specified.

What products will the new Fuyao Group facility manufacture?
The planned production range includes plastic components, intelligent assemblies, electronic modules, and precision molds used in automotive component manufacturing. The project will also include a research and development center, modern manufacturing facilities, and specialized laboratories. These facilities are part of the planned production base's overall scope, but the announcement does not provide detailed technical specifications for each product category. It also does not identify separate production volumes for plastic components, electronic modules, intelligent assemblies, or precision molds. The stated product portfolio therefore describes the project's intended range without specifying the output mix.

What are the expected annual production capacity and production value?
Once the Hefei production base reaches full production capacity, it is expected to manufacture more than 40 million sets of various automotive trim components and molds annually. Its expected annual production value at full capacity is approximately CNY 3 billion. These figures are projections for the fully operational facility rather than confirmed results from current production. The announcement does not break down the expected volume by product type or explain how quickly the base will reach full capacity after production begins. The project is currently under construction, with completion and production commencement expected in the second half of 2027.

How is the project expected to affect Hefei's automotive supply chain?
The Hefei Municipal People's Government expects the new production base to further strengthen the city's local automotive component supply chain. The facility's planned product range covers plastic components, intelligent assemblies, electronic modules, and precision molds, supported by research, manufacturing, and laboratory infrastructure. Its investment and projected full-capacity output indicate a substantial planned manufacturing development in Hefei. However, the announcement does not identify specific customers, vehicle manufacturers, supplier agreements, or confirmed downstream production commitments. The direct stated objective is to expand local automotive component manufacturing capacity, while the scale of future supply relationships remains unannounced.