Shandong Hua Cheng Electronic Technology CO.LTD

一、Brief introduction of the project company                   

name

Shandong Hua Cheng Electronic Technology CO.LTD.

address

No.15 Haibin Road, Rizhao, Shandong Province 

Person in charge

  Li Hongbin

Telephone

 ﹢86 633 8351387

Fax

 ﹢86 633 8391001

E-mail

yuanyuan870714@163.com

Company nature

Shareholding

Date of funding

 June 2005

total assets

 6,000,000$

registered capital

 2,880,000$

liabilities

 160,000$

Products,size

and operation of 2006

energy-saving products, electrical control equipment, new energy, and automotive electronics, systems integration, information security products. The sales revenue in 2006 is  8.2 million US dollars, and the profits is 1.64 million US dollars. 

二、project brief                      

name

 anti-skidding car ESP electronic stability system

type

New

√

Expansion

Intro-

duction

The project covers 315,000 square meters and is located in the south-east of Rizhao Economic Development Zone in. the contents of construction includes the office building with construction area of 4,200 square meters , the test floor building with construction area of 4,200 square meters, the scientific research building with construction area of 4,200 square meters, shift quarters building with area of 18,360 square meters, 13,200 square meters of warehouse construction, production workshop building area of 127,760 square meters. The  total construction area is  174,452 square meters.

Total investment

 93million US dollars

Term of cooperation

 10 years

三、the proposed cooperation and investment ratio

Joint venture

 √

foreign-owned

Equipment import

 √

cooperation

shares Transfer

Technology Transfer

 √

Other From

四、the supply of raw materials and primary production facilities:
 the raw materials for the project could be abundantly supplied by the domestic market could be resolved mainly through market purchases. With  several years of operation, the company has developed fixed supply channels and can ensure adequate supply of raw materials.

五、Market analysis

 Anti-skidding car ESP electronic stability system has been used from the high-end car to the middle-low-grade models. China is a big country of consumption of middle – low-grade models and anti-skidding car ESP electronic stability system has a great potential in China.

六、Economic analysis

construction period

 36months

Year sales or operating income

 350million us dollars

Investment rate of return

 23.7%

ecovery period

 6.95year