Fuyao Glass plans to increase $400 million investment in US unit

Fuyao Glass plans to increase $400 million investment in US unit

Fuyao Glass, a prominent Chinese automotive and solar glass producer, is set to enhance its production capacity in the US with a $400 million investment [1]. This expansion will primarily focus on float glass and solar back panel production lines, aiming to meet the growing demand for these products.

With $350 million allocated for Fuyao Illinois, the company will install a new kiln and two floating glass production lines, in addition to four solar back glass lines [1]. These investments will augment the existing two float glass production lines at Fuyao Illinois. This expansion is expected to contribute significantly to the company's growth in the US market, driven by the increasing demand for solar back glass and government support for clean energy policies [1].

The US government's recent enactment of the Inflation Reduction Act (IRA) is anticipated to provide further impetus to Fuyao's expansion plans. The IRA focuses on covering clean energy manufacturing, including segments like electric vehicles, solar panels, and related fields [1]. This legislation is expected to create significant business opportunities for companies operating in these sectors.

Fuyao Glass's chairman, Cao Dewang, has previously emphasized the importance of an economy based on manufacturing [2]. This expansion in the US aligns with the company's commitment to enhancing its manufacturing capabilities and expanding its presence in key global markets.

References:
[1] Taiyang News. (2022, September 29). Fuyao Glass to expand production capacity in the US. https://taiyangnews.info/business/fuyao-glass-to-expand-production-capacity-in-the-us
[2] China Daily. (2018, October 17). Fuyao Glass employees work on an assembly line in Moraine, Ohio, the United States. https://global.chinadaily.com.cn/a/201810/17/WS5bc6a128a310eff303282dad.html