ABB sets up new joint venture with Xi’an Power Rectifier Works

According to the contract, ABB will take the majority ownership of 62 percent in the new JV, and its Chinese partner Xi'an Power Rectifier will take the remaining 38 percent. Total investment for the JV is $ 5 million.

The new venture will produce high current rectifier products and systems, which are widely used in the process of aluminum smelters, chlorine plants, DC Arc furnaces, graphite electrode plants, magnesium smelters and zinc plants.

"This is another demonstration of ABB's long term commitment to China," said ABB China Chairman and President Peter Leupp at today's contract signing ceremony.

"The new company - the second JV of ABB in Xi'an - will bring ABB's total number of companies in China up to 23," he said.

The General Manager of the new company Ulrich Grunauer noted that it was a win-win cooperation between ABB and Xi'an Power Rectifier which is a member of Xi'an Electric Group of China, and has a leading position among power electronics enterprises in China in the rectifier product market.

Mr. Grunauer said, "The new company is destined to become the rectifier flagship in China with ABB's state of the art technology and Xi'an Power Rectifier's proven success in the market."

According to plan, the new company will go into operation in August.

ABB is a leader in power and automation technologies that enable utility and industry customers to improve performance while lowering environmental impact. ABB operates in more than 100 countries and employs about 102,000 people. ABB has full fledged business activities including manufacturing, R&D, sales and service in China, with 8,000 employees, 23 joint venture and wholly owned companies and a most extensive sales and service network across 30 cities. To know more about ABB, visit www.abb.com.cn.