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September 26, 2018 02:00 AM

China's Minghua planning additional facility in South Carolina

Audrey LaForest
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    Minghua USA

    Auto parts maker Minghua USA Inc. is planning an investment of at least $29 million in an additional facility in Greer, S.C., that could result in 79 new jobs.

    The company, a subsidiary of Jiangnan Mould & Plastic Technology Co. Ltd. (MPT) in Jiangnan, China, has purchased 70 acres in Greer to build new operations that will be at least 160,000 square feet, according to company spokesman Bruce Luna.

    Construction on the project is planned for 2019. A completion estimate was not available at this time.

    "Minghua anticipates expanding its injection and paint capacities, which will involve expanding additional equipment at the current facility as well as the purchase of additional equipment at the proposed new facility," Luna said in a Sept. 26 email to Plastics News. "Currently, Minghua anticipates [an] additional equipment investment of approximately $13 million."

    In 2016, parent company Jiangnan first announced it was building an injection molding facility in Greer and investing $45 million in the project. Construction at the site was completed last year.

    The Greer facility, which manufactures parts for BMW AG's X5, X6 and X7 vehicles, has 19 injection molding machines. Clamping forces on the presses range from 150-2,300 tons.

    Luna said Minghua is "experiencing significant growth." The company employs 250 and expects to grow to 320 employees by the end of the year, he added.

    "As with all businesses, the driving force is demand by our customers as well as the business-friendly environment in the region and a local workforce familiar with the automobile manufacturing industry," Luna said.

    In January, PN reported Minghua had chosen Troy, Mich., as the site for its North American headquarters and would spend $8.4 million on a facility to house sales and research and development to support the operations.

    "From a global perspective, Minghua USA's parent company and affiliates have been growing and expanding worldwide thanks to global demand for plastic products and high-tech molds by OEMs and automotive Tier 1 suppliers," Luna said.

    MPT posted total sales of approximately 4.3 billion yuan in 2017 ($625 million) and a net profit of 134.5 million yuan ($19.5 million).

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