China Dec 30, 2015

China Center Bavaria in Ingolstadt – The Dragon in Southern Germany

2014 was a special year for Ingolstadt and Region 10, which consists of the city of Ingolstadt in the centre and the surrounding districts of Eichstätt, Neuburg-Schrobenhausen and Pfaffenhofen. In that year, then-mayor, Dr. Alfred Lehmann, signed a partnership agreement with Foshan, which his successor, Dr. Christian Lösel, used to develop a China strategy for Ingolstadt and Region 10.

Ingolstadt's China Strategy – what is it all about?

With the China Strategy, the leaders of Ingolstadt, in close collaboration with the three surrounding districts, are pursuing the goal of furthering economic relationships and interrelations with China. The Ingolstadt region is to become a leading centre for Chinese direct investments in southern Germany over the next few years and shall become a suitable counterpart to the centres in western and northern Germany over the long-term. Support for the local economy is also part of the plan, whether it is about assistance in establishing companies in China or additional contracts from Chinese companies established in Germany – the goal is for prosperity on both ends of the Silk Road.

China Center Bavaria in Ingolstadt

A China Center Bavaria was set up in Ingolstadt within the framework of the China Strategy. The China Center is a member of the Existenzgründerzentrum Ingolstadt (EGZ, entrepreneur centre Ingolstadt), which specialises in supporting new companies and scores highly through low rents and maximum support.

Chinese companies can not only benefit from the Chinese language support, but also by using the additional services offered outside the centre. This is how a regulars' table was introduced together with the Chinese School Ingolstadt, where the region's already large Chinese community meets on a regular basis. A kindergarten group with a Chinese nursery school teacher and regularly scheduled lessons in five classes at the Chinese School offers the investors a good foundation for their families. The founding of the Audi Confucius Institute Ingolstadt is also about to take place, and which is being supported in Ingolstadt by a broad base of universities, municipalities and companies.

Success needs a good start

Ingolstadt's China Strategy can already point to its first successes. Five Chinese companies have established themselves in the China Center Bavaria in the meantime. Three of them have already moved into their new offices.

The IT supplier ZD Automotive GmbH settled in the direct vicinity of Ingolstadt Village in the EGZ a few years ago.
In July 2015, another Chinese company, PPM Europe GmbH, moved into the China Center Bavaria. PPM Europe is a wholly owned subsidiary of the automotive supplier PPM Solutions in Shenzhen and Wuhan. With the newly established branch, the Chinese company has a foothold in Europe in addition to its sales and service office in the USA. Thanks to its central location and short distances, Ingolstadt offers large, premium manufacturers an ideal base for suppliers of injection nozzles and other parts for motors and transmissions.

In August 2015, the third company under Chinese management, Bayerischen Elektrischen Maschinen GmbH (Bavarian electric machines), was welcomed to the China Center Bavaria. The company was founded by two Chinese engineers and designs and develops electric generators and motors, including complete electric drive trains for electric vehicles.