Johnson Controls to Build $100 Million Start-Stop Battery Plant in China


johnson controls

FRANKFURT, Germany--Sept. 14, 2011: Due to increasing global demand for high-quality automotive batteries for environmentally friendly Start-Stop technology, Johnson Controls is investing $100 million to build a Start-Stop vehicle battery plant in China. The plant will supply global and local automakers in Asia and is expected to start production in early 2013.

Johnson Controls, the global market leader in automotive batteries, is expanding its operations in China. As announced by the company during its press conference at the 64th Internationale Automobilausstellung, Johnson Controls plans to produce an annual capacity of 2.4 million Start-Stop batteries by 2015 for local and global automakers.

"We project that China will continue to be the fastest growing market for automobiles through the end of this decade. At the same time, interest in the environment and more energy efficient vehicles is driving many of our OE customers to add Start-Stop vehicles to their fleets," said Kim Metcalf-Kupres, vice president strategy, sales and marketing at Johnson Controls Power Solutions. "We are working closely with our customers globally to ensure they receive the same levels of performance and reliable quality everywhere as we establish regional capacity in line with growing demand."

The company is exploring several potential locations for the new plant and expects to make a final decision in the coming months.

Johnson Controls investing $520 million globally for additional Start-Stop battery capacity

Johnson Controls anticipates the market for Start-Stop vehicles will grow to 35 million globally by 2015. To support this rapid growth, the company is investing $520 million worldwide over the next four years in additional production capacity for Start-Stop batteries: $280 million in Germany, an additional $140 million in the United States, and $100 million dollars in China.

Johnson Controls is currently the leading supplier of Start-Stop batteries in Europe through its VARTAŽ brand. In Germany, the company's plants in Hanover and Zwickau produce more than 11 million Start-Stop batteries annually. The company is also adding 6.8 million units of capacity in the United States.

About Johnson Controls:
Johnson Controls is a global diversified technology and industrial leader serving customers in more than 150 countries. The company's 154,000 employees create quality products, services and solutions to optimize energy and operational efficiencies of buildings; lead-acid automotive batteries and advanced batteries for hybrid and electric vehicles; and interior systems for automobiles. Johnson Controls' commitment to sustainability dates back to its roots in 1885, with the invention of the first electric room thermostat. Through its growth strategies and by increasing market share we are committed to delivering value to shareholders and making our customers successful.  In 2011, Corporate Responsibility Magazine recognized Johnson Controls as the #1 company in its annual "100 Best Corporate Citizens" list.    

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