By Kim Richters
Traton SE said Tuesday that its Swedish truck brand Scania will invest in and set up its own commercial-vehicle production site in Rugao as part of the Traton's plan to expand its presence in China.
Series production at the location is planned to start in early 2022, German truck manufacturer Traton said, adding that the brand's investment in China will include local research and development over time without disclosing a financing size.
"China is to replace Brazil as Scania's largest single market by the end of the decade," it said.
The news comes after Scania acquired Chinese company Nantong Gaokai Auto Manufacturing Ltd., which has "the necessary local license requirements" to develop Scania's own production and sales operation in China.
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(END) Dow Jones Newswires