Honeywell to Invest USD100 Million to Expand Its Regional Headquarters and R&D Facilities in Shanghai
July 14, 2016
‚Ä¢ The Company to increase the size of its R&D facilities and office space in Shanghai by more than 50%
Shanghai, China &endash; May 31, 2016 - Honeywell (NYSE:HON) today announced plans to invest USD100 million to expand its Asia Pacific regional headquarters and R&D facilities in Shanghai through the purchase of a new headquarters building in the city's Zhangjiang High-Tech Park.
With this new 10-story building, the Company will increase the size of its R&D facilities and office space in Shanghai by more than 50 percent to accommodate its continued and consistent business growth across the country. This new investment also supports Shanghai's efforts to further improve competitiveness through scientific and technological innovation.
“More than a decade ago, we made a strategic decision to put our regional R&D center and headquarters in Shanghai, and it has worked,” said Honeywell China President and CEO Stephen Shang. “Since 2004, we have grown from about 1,000 people in China to almost 13,000 people across the country today. Nearly one-fourth are scientists and engineers. China is now Honeywell's biggest market outside of the United States and the single largest contributor to Honeywell's growth. And we believe that this is the place to be now and in the long term, for innovation and growth.”
As part of a nationwide strategy, Shanghai is striving to become a global hub of scientific and technological innovation. Honeywell is highly committed to contributing to China and Shanghai's development. Since 2007, Honeywell Technology Solutions China (HTSC), an integrated regional R&D center based in Shanghai Zhangjiang High Tech Park, has generated more than 700 patents and patent applications.
In addition to this new investment in Shanghai, Honeywell has also been increasing its investment efforts across the country to build R&D capabilities and production capacity. Recent examples of Honeywell's investment in China include:
‚Ä¢ In May 2016, Honeywell announced to add a new manufacturing capacity in Zhangjiagang city, East China's Jiangsu Province, to enable China to meet the growing demand for plastics. Over the past few years, Honeywell has been investing its manufacturing capacity there to support growing demand in Asia for energy technologies and advanced materials produced by its Performance Materials and Technologies (PMT) business. One of the planned plants, which produces advanced Oleflex' catalysts, started operation in 2015.
‚Ä¢ In March 2016, Honeywell Automation and Control Solutions (ACS) signed an investment agreement with local authorities to build a manufacturing and R&D center in Xi'an, the capital of Northwest China's Shaanxi Province.
‚Ä¢ Honeywell's largest and most advanced manufacturing facility for protective gloves was unveiled in Nantong, Jiangsu Province in December 2014.
‚Ä¢ In September 2014, Honeywell opened a new turbo plant in Wuhan in Central China's Hubei Province, which will help triple Honeywell's turbo production capacity in China.
‚Ä¢ A joint venture manufacturing facility was founded in August 2012 Changsha in Central China's Hunan Province to provide the wheels and brakes, tires and brakes for the China's C919 aircraft project.
Honeywell's long history in China goes back to 1935, when it established its first franchise in Shanghai. Today, all of Honeywell's three strategic business groups &endash; Aerospace, Automation and Control Solutions, Performance Materials and Technologies &endash; have a strong presence in China, each having relocated their Asia Pacific headquarters to China. Honeywell has established subsidiaries and joint ventures in more than 20 cities across the country.
Honeywell ( www.honeywell.com) is a Fortune 100 diversified technology and manufacturing leader, serving customers worldwide with aerospace products and services; control technologies for buildings, homes, and industry; turbochargers; and performance materials. For more news and information on Honeywell, please visit www.honeywell.com/newsroom.
This release contains certain statements that may be deemed “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, that address activities, events or developments that we or our management intends, expects, projects, believes or anticipates will or may occur in the future are forward-looking statements. Such statements are based upon certain assumptions and assessments made by our management in light of their experience and their perception of historical trends, current economic and industry conditions, expected future developments and other factors they believe to be appropriate. The forward-looking statements included in this release are also subject to a number of material risks and uncertainties, including but not limited to economic, competitive, governmental, and technological factors affecting our operations, markets, products, services and prices. Such forward-looking statements are not guarantees of future performance, and actual results, developments and business decisions may differ from those envisaged by such forward-looking statements. We identify the principal risks and uncertainties that affect our performance in our Form 10-K and other filings with the Securities and Exchange Commission.