The Automotive Systems Division of the international automotive supplier Continental AG has announced plans to build a dedicated engineering centre in Shanghai, China. As outlined during the signing ceremony held in Shanghai this week, the new engineering centre will be composed of two facilities: one office site with design and test labs in Yangpu District of Shanghai and the other one with large-scale equipment for bench testing as an extension of the existing Continental Automotive Systems Shanghai facility in Jiading. Both facilities — representing a total capital investment of euro 48 million — will be fully operational at the beginning of 2009 and provide employment for about 450 people with the potential to increase up to 600 by 2011. The new facility will be one more milestone of the growth of Continental in China with the aim to reinforce our position as a supplier and to provide more effective and advanced technical support to our customers in the Chinese market. The facility in Yangpu will occupy a floor space of approximately 7,400 square meters and serve as Asia Headquarters office for Continental Automotive Systems, ContiTech and Continental Tires. At the same time, testing labs for selected electronics products will be moved to this facility as well. The 8,400 square meters facility in Jiading will provide office space and well- equipped labs & testing facilities for powertrain & chassis, body & security, hydraulic brake systems and electronic brake systems. Dr. Karl-Thomas Neumann, President of Continental Automotive Systems and Member of the Executive Board, Continental AG, said: “China is playing an increasingly important role in the future development of the global automotive industry. “The establishment of a dedicated engineering center in Shanghai marks a strategic step towards our goal to be one of the leading automotive suppliers in China.” “By 2010, we want to double our sales in Asia. Continental Automotive Systems’ growth in China will contribute significantly to the realization of this goal,” said Jay Kunkel, president of the Asia region and member of the management board at Continental Automotive Systems. The Continental Corporation is supplier of brake systems, chassis components, vehicle electronics, tires and technical elastomers.