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Chongqing's Liangjiang New Area signed a deal with SOFIMA FILTER, an Italian filter system solution provider, on Oct 30, marking new progress for the auto industry in Chongqing and its cooperation with Italian projects.

The agreement involves investment of some 150 million yuan ($22.72 million) to produce filtration products and air intake systems for automobiles, trucks and industrial vehicles. The project is expected to generate an annual sales value of 300 million yuan.

SOFIMA FILTER was founded in Mantua, Italy in 1981 as a subsidiary of the UFI FILTERS Group. Currently there are eight SOFIMA plants in the world, four of which are in China.

The project is bound to improve the quality of the auto industry in Liangjiang New Area and promote environmental protection through products that save energy and reduce emission, said Tang Zongwei, deputy director of the Liangjiang New Area administrative committee.

With 10 renowned auto brands, Liangjiang New Area has become one of the biggest automobile production bases in China. Statistics show that in the first half of 2017 alone, 1.19 million vehicles were produced, a year-on-year increase of 14 percent with an output value of 143.6 billion yuan.

The area has an ambitious goal to produce 3.7 million cars and three million engines per year and achieve an annual output value of 450 billion yuan by 2020.

The project corresponds to the Italian company's strategy to expand the market in Chongqing and West China.

"Chongqing is an important automobile production base and will be a pivot region along the Belt and Road," said Luca Betti, Aftermarket Business Unit Director of SOFIMA FILTER. "Building a plant in Chongqing will help us provide better services to our clients in West China."

Tang said the project will become a magnet luring more Italian projects to the Sino-Italy Industrial Park established in the Liangjiang New Area this August.

The agreement, aiming to boost bilateral investments between Chongqing and Italy, came about as a result of the 2017 Chongqing-Italy International Cooperation Forum on Automobiles, Transportation and Logistics.

Italy is an important partner for Chongqing in economic and trade cooperation. Both Italy and Chongqing will increase exchanges and mutual investment opportunities, said Tang.

Officials of Liangjiang New Area and representatives from SOFIMA FILTER meet to discuss future plans. [Photo/liangjiang.gov.cn]