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On November 13, Sichuan Bohong Group announced that it will invest 1.7 billion yuan to build the third-generation engine casting cylinder production base of EA888 in the Economic Development Zone of Mianyang City.
The first-phase project will annually produce 1 million pieces of EA888 third-generation engine casting cylinders, which can realize a sales income of 800 million yuan and a profit tax exceeding 200 million yuan. The project will be put into production next year.
The EA888 third-generation engine is a new generation of Euro V engines developed by the German company Audi. Compared to the second-generation engine, this engine is lighter, more powerful, and more powerful. The thinnest part of its engine cylinder wall is only 3 mm, which is equivalent to the diameter of a grain of millet, which is two millimeters thinner than the second generation. It weighs only 43 kg and is 20% lighter than the second generation. It is no exaggeration to say that this engine is the perfect combination of high performance, high technology, energy saving and environmental protection. For this reason, it is mainly used for high-end models of the Volkswagen and Audi brands.
The engine is the "heart" of the car, and the engine block is equivalent to the "body" of the heart and is an important carrier for the other important components in the engine. In April of this year, Bochum signed a cooperation agreement with Germany's EB, the world's largest manufacturer of engine block for passenger car engines. According to the agreement, the two parties jointly established a production base to provide Volkswagen and Audi with the EA888 third-generation engine-casting cylinder. The total investment of the project is 1.7 billion yuan, which will be completed in two phases. The first phase is expected to invest 1 billion yuan, and it will be completed and put into operation next year to achieve simultaneous listing of products with North America and Europe. Through the expansion of investment in the second phase, it can produce 1.8 million pieces of EA888 third-generation engine blocks annually, realize sales revenue of 2.6 billion yuan, profits and taxes of 410 million yuan, and solve 1300 jobs.
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