Dongfeng Motor to invest RMB 200 mln in reproducing base

Dongfeng Motor Corporation, one of China's three largest car manufacturing groups, plans to invest RMB 200 million into the construction of an experimental auto parts reproducing base in central China's Hubei province in three years.

Reproducing auto parts is a process of cleaning, repairing and doing surface treatment of the scrapped auto parts and to make them to perform as well as the new ones. The 20-hectare base is capable of recycling and handling 50,000 scrapped cars and 100, 000 tons of scrapped materials and remaking 100,000 sets of auto parts.

The project is expected to bring RMB 2.7 billion industrial output to the carmaker giant per year. It may help the firm save 30,000 tons of steel products.

Dongfeng Hongtai Holdings Group Co. Ltd and Dongfeng Cummins Engine Co. Ltd will be responsible for the construction. Cars produced by Dongfeng Peugeot Citroen Automobile Co. Ltd, a joint venture of Dongfeng and PSA Peugeot Citroen will be firstly reproduced at the base.