Johnson Controls to open plant in China

[hue]

http://m.jsonline.com/business/johnson-controls-to-open-plant-in-china-rv5mbu5-157642495.html

Johnson Controls Inc. on Wednesday announced plans to build a new Chinese factory to produce car batteries, including advanced batteries that help boost fuel economy.

The Glendale firm said it planned to invest $200 million in the plant, located in Tianjin in northern China. Construction is scheduled to start this year, with battery production scheduled to launch in late 2014.

The announcement underscores the importance of the Chinese market for the company, said Alex Molinaroli, president of the Johnson Controls power solutions business.

"This plant demonstrates our long-term commitment to the rapidly growing automotive industry in China," he said in a statement. "We are forecasting 25 million in annual new car sales in China by 2015."

Johnson Controls said it's planning to expand its production from its Chinese factories to 30 million batteries a year by 2017 - a signal that it will invest more in the years ahead.

Once the factory opens, the company said its battery production capacity from China is expected to top 20 million batteries.

[hue]

1. Where WI jobs are heading (out the door!) Thanks Walker :-(

On May 29th, 9 out of 10 Wisconsin CEOs surveyed stated a Walker recall victory would result in a better climate for job growth. In related news, Wisconsin-based Johnson Controls announced plans to construct a new $200 million plant- in China.

[Gregorian]

2. And as a side note, we can kiss the planet goodbye.

I knew in 1980 that China was about to open it's sleepy eyes. Even in 1990 people still didn't get it yet.

Now, today, I'm doing research on a new product that contains tungsten carbide grit. The US simply doesn't have it any more. I have never been so shocked by anything like this one. It's all China. Of course it's not as bad as I'm making it out, since the raw materials that go into the tungsten carbide are found primarily in China. But we've shut our doors here.

And to make things worse, all of the stuff that's made there is going to be shipped across the ocean, and the skies, to get back to us. This is a double whammy. If we think 400 ppm of CO2 is bad, I think this next decade, especially if economies recover, is going to be the lid on the coffin.

Johnson Controls is a pretty old and established company. I remember when they were distributing a product my dad and I sold, back in the early 90's. It feels like the Citizens United of production.

[Franker65]

3. No surprise

It really isn't too surprising given the massive expansion of the Chinese automobile market. GM and other companies are doing the same. Still, it would have been nice to see some more jobs created in the US, given the economic climate.

[FrodosPet]

4. It's Amrtica's right to 100% of the world's manufacturing

Instead of jobs, we should be handing out foreign aid, paid for my the huge tax revenues available with having 100% of the world's economic activity.



Is this plant going to build for the U.S. market or the Chinese market?