BYD Obtains $60M New Energy Industrial Site in Shenzhen

A new energy industrial site in the southern Chinese city of Shenzhen spanning over 550,000 square meters was sold on Monday to Shenzhen BYD Auto Industry Company Limited for 403 million yuan ($60.3 million).

The plot is located in the Shenzhen-Shantou Special Cooperation Zone, with a land area of 554,500 square meters and a land service life of 30 years.

The site is to be used for the construction of the first phase of the Shenzhen-Shantou BYD Auto Industrial Park. Project planners say it will play an exemplary role in the Shenzhen-Shantou Special Cooperation Zone to enlarge, strengthen and optimize the local new energy automobile industry, accelerate the gathering of the automobile industry chain and attract investment.

To the east of the site is a land lot with an area of 400,000 square meters, which was bid on by Shenzhen BYD Auto Industry Company Limited for the construction of the BYD Auto Industrial Park (Shenzhen-Shantou) Phase I. Now, an industrial cluster area of 950,000 square meters is to be established in this area.

The first phase of the BYD Automobile Industrial Park (Shenzhen-Shantou) project has a planned total investment of 5 billion yuan. It will mainly produce auto parts and accessories, among other things. The annual output value is expected to be about 10 billion yuan and the scale of employees will reach 18,000 after it is put into operation.

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In January this year, BYD invested an additional 20 billion yuan on top of the 5 billion yuan investment signed last year for the construction of the second phase of the BYD Auto Industrial Park. The annual output value is expected to exceed 100 billion yuan after all production is completed. The project will cover an area of 4 million square meters and will reportedly build 600,000 new energy vehicles with a core components production base.