Xinyi to Increase
Annual Production Capacity by 1.2 Million
Units of Auto Glass Next Year; Says Current
Order Backlog Exceeds Three Months
August 17, 2010
Hong Kong-based Xinyi Glass Holdings
Ltd. has announced that it will increase
its annual aftermarket auto glass production
capacity by 1.2 million units later this
year. The company attributes its decision
to increase production to "the strong
surge in market demand."
"As the automobile glass market
continues to show strong momentum in the
third quarter this year, export price
and sales volume of automobile glass continue
a noticeable growth uptrend," writes
the company in a statement.
"Pushed up by robust market demand,
the [Xinyi] Group's order backlog is at
its record high level of [more than] three
The company plans to open a new aftermarket
auto glass line to open in Shenzhen, China,
later this year, with an annual production
capacity of 800,000 units. The line is
scheduled to begin production during the
fourth quarter. In addition, Xinyi officials
say an additional production line with
an annual capacity of 1.2 million units
of glass is scheduled to be put into place
in the first quarter of 2011.
Once these are both into place, Xinyi
officials say it will have a total annual
aftermarket automobile glass production
capacity of 13.5 million units of glass.
In early August, Xinyi announced it had
entered into a Memorandum
of Understanding with Pittsburgh Glass
Works to explore "a potential formation
of a joint venture or other cooperative
effort to manufacture automobile glass
products and to manage sales and service
parts of automobile glass to OEM customers
in China and export to global OEM customers."
And, just last week, Xinyi reached a settlement
with Saint-Gobain in the ongoing patent
infringement suit; under the terms of
the settlement, all proceedings were terminated
"without admission of any infringement
liability on either side," and the
companies also "have entered into
license agreements on other patents of
Saint-Gobain for the use by the Group
for its production and sales purposes."
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