Chinese battery maker Shenzhen Center Power Tech is proposing to transfer part of its lead-acid operations outside China to reduce costs.
The company— also known as Vision— has set its sights on transferring lead battery production from its facility in the Shenzhen Dapeng New District to subsidiaries in Vietnam and central China’s Hubei Province.
Vision said a Shenzhen Stock Exchange announcement the switch would reduce labour costs— specifically in terms of Vietnam— where it could also save 4% on consumption tax payments.
However, Vision did not give details about the amount of lead battery production it might move outside China or a schedule for the move.
Shenzhen-based Vision was founded in 1994 and currently has three R&D production sites— in Shenzhen, Vietnam and Hubei. The sites reportedly have a combined production capacity of 6 million kilo volt-ampere hours (KVAH) of lead-acid batteries annually plus 1.1m-kilowatthours of lithium batteries.
BBB reported earlier this year that Tianneng, another Chinese lead-acid battery manufacturer, was also reportedly planning to expand production capacity to another country in southern or southeast Asia.