Materials giant BASF SE has entered into a strategic cooperation framework agreement with China's Jilin City to help the latter transform into a new automotive production hub.
The agreement aims to promote “sustainable city and industry development,” BASF said, offering its products and know-how to help the city boost its automotive industry while strengthening a range of other industries.
Jilin City, located in Jilin province, is a strategic location in shaping many industries in Northeast China, such as automotive manufacturing, BASF said. Ultimately, Jilin City aims to become a new auto industry hub, producing more than 1 million vehicles a year.
“BASF provides one-stop solutions for the entire automotive industry chain. With this cooperation agreement, we are committed to working more closely with Jilin City's automotive industry to drive the application and innovation of advanced automotive materials,” said Stephan Kothrade, president and chairman Greater China, BASF.
BASF said it brings rich experience in vehicle emissions control, environmentally friendly automotive coatings, and lightweight solutions, and also provides battery materials, interior materials, noise and vibration absorption solutions, fuel additives, lubricants and coolants.
In addition to automotive, BASF and Jilin City also plan to cooperate in agriculture, public buildings, infrastructure construction and the promotion of sustainable construction materials.
Jilin City official Zhao Jingbo commented, “Jilin City is a hub for the chemical and carbon fiber industries in China. BASF is highly relevant and complementary to the industries here. This is a partnership with broad prospects.”
China has been stressing the revitalization of its Northeast region, which has seen its glory as a former industrial hub fade and become a rustbelt region that trails behind the rest of the country in terms of economic growth. Beijing rolled out a renewed action plan in April, calling on local governments to create an open and fair business environment, foster regional innovation, and seek new growth opportunities.