GE Industrial Solutions and Chongqing Machinery & Electric Co Ltd signed an agreement in April 2013 to establish a high and low voltage electrical equipment manufacturing base with investment totaling 125 million yuan, in the Longxing Industrial Park of Liangjiang New Area of Chongqing. Construction is underway and the base is expected to start operation by the end of 2014, with annual production value expected to reach 500 million yuan.
The project will play an important role in the development of the industrial chain of high-end equipment in the new area and the industry's global competitiveness.
Bob Gilligan, CEO of GE Industrial Solutions, a division of GE Energy Group, said at the signing ceremony that China's market for high and low voltage electrical equipment is expected to reach $22.5 billion as the country's economy grows and demand for infrastructure increases. He also said that there will be a huge demand - in Chongqing and the western part of China - for parts used in high and low voltage electrical equipment, and GE has made a "right choice" to develop its market in western China from its base in Chongqing.
Gilligan added that - in addition to providing electricity solutions and electrical technologies for Chongqing's rail transit - GE will also increase efforts to explore infrastructure and industrial projects around the country, and it would export its products and also sell to clients in Chongqing and western China.
In addition, GE also has great interest in cloud computing in Chongqing as it can provide equipment - such as power converters - and uninterruptible power supply for the industry.
Gilligan said GE will focus on building a data center in Chongqing, and also on cloud computing and communication, and it would conduct further research and look for other possible investment opportunities in the city.
Chongqing lies at the convergence of the Yangtze and Jialing rivers.