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SHANGHAI - A growing number of auto parts makers are building r&d centers in China.
One reason is that Chinese engineers are paid much less than their Western counterparts. But the Chinese centers also will become part of global, around-the-clock engineering efforts. And they will play important roles in tailoring parts for China and for export.
Delphi Corp., the world's largest parts maker, is building a center in Shanghai. The first phase of the $50 million project is scheduled to be finished in mid-2005. In the meantime, Delphi is hiring about seven engineers a month to work out of a temporary office.
Delphi's initial intent is to serve its growing China operations, where sales last year rose 50 percent to $650 million."The vision is to be able to supply Delphi globally from this center," says Douglas Brandt, electronics and safety division engineering director at the Delphi China Technical Center.
Previously, Delphi supported customers in China from other sites. Powertrain customers, for example, were served by an r&d center in Singapore.
The Shanghai center will be Delphi's 35th r&d...