Taditel opens production plant in China

Taditel

The Israeli automobile electronics company opened a plant in Changzhou's CI3 incubator.

Israeli automotive electronics company Taditel has established a new production plant in China. The plant is located in the CI3 industrial incubator initiative in Changzhou, Wujin Economic Zone (WEZ). The entry of Taditel of Haargaz Group into the incubator completes phase one of a unique endeavor, launched to provide Israeli companies with the opportunity to conveniently manage production in China, reducing the investment and risks associated with penetration into a complex, unfamiliar market.

Similarly to other Israeli and foreign tech companies in China, Taditel is opening its plant in response to both the challenge of global competition and the needs of its direct clients, such as: Bosch, Delphi, Remy, Valeo and others. These clients are suppliers of car manufacturers located in China, as a global production center of the automotive industry. Taditels advanced voltage regulators can be found in the vehicles of the world's leading automakers including: GM, Volkswagen, Hyundai, Toyota, Audi, Fiat, Peugeot, Citroen, Ford, BMW, Honda, Volvo, and many others.

The incubator is a partnership between two Israeli-owned companies: PTL Group, established by Zvi Shalgo, formerly chairman of the Israeli Chamber of Commerce in Shanghai, and Elan Industries, owned by entrepreneur Ilan Maimon. Both companies have many years of experience specializing in management and operation of Israeli and foreign companies in the Chinese market, and in establishing industrial and technological endeavors in China.

The ribbon cutting ceremony was attended by local Changzhou government officials and representatives of WEZ, perceived as the Israeli Silicon Valley of China, representatives of the Israeli Ministry of Economys Trade Mission, the incubator entrepreneurs and companies, and Israeli and foreign businesspeople operating in the Chinese market.

Taditel is part of Haargaz Group, a significant player in the Israeli economy active in various industries including: bus manufacturing, advanced industrial building, storage and cooling systems, metal technologies, and electronic systems for the global automotive industry.

Taditel CEO Shachar Kadshai said, "Ha'argaz group is currently in the process of growth and expansion of business activities, including purchase of companies and development of its industrial activity in Israel. The expansion of Group activities and the establishment of a plant in China are important components in the Groups global business network with its clients. Our presence nearby the global auto industry, where most leading manufacturers are located, creates opportunities and growth generators against a backdrop of trends in the auto market. The Groups vision features a vast business horizon and the potential to expand its activities in China, in both electro-mechanical systems and additional fields."

CI3 Incubator founding partner and CEO Ilan Maimon said, What guided us in establishing the incubator endeavor in 2011 was the identification of the need for local production in China among Israeli and foreign companies. This is necessary to maintain the companies competitive edge vis-à-vis global and Chinese competitors, and to meet their international and Chinese customers' demand to purchase from nearby suppliers, in the Chinese market. The incubator enables starting with limited series of production and gradually increasing their scope according to Chinese market sales, eliminating the need for a large investment to establish an independent plant." The Chinese auto market is seen as the largest and fastest growing in the world. In 2013, China became the first country in the world in which more than 20 million vehicles were sold during a given year. During 2014, 24 million vehicles were sold. Among the Israeli automotive companies that already operate in China, are: Taditel, Arkal Automotive, Polyram, A.L Filter, CogniTens (purchased by Hexagon, Sweden), Nextec and Intelligent Transport System (ITS) companies such as Mobileye.

Published by Globes [online], Israel business news - www.globes-online.com - on February 3, 2015

Copyright of Globes Publisher Itonut (1983) Ltd. 2015

 
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