Shanghai Daily news

Larsen and Toubro Ltd, India's largest engineering and construction conglomerate, signed a memorandum of understanding to set up an US$11-million plant in Wuxi, Jiangsu Province, to produce switchgears.
The 30,000-square-meter, wholly-owned facility is the Indian firm's first investment in China. The plant is scheduled to start production of air circuit breaker, a type of low voltage switchgear, in early 2006. The plant is likely to generate an annual sales of US$82 million in five years.
"The Chinese market for our products is mature and large and the skill and workmanship is of a high standard and the necessary resources are ample," said Rodney Pereira, chief representative of L&T's Shanghai office.
About 90 percent of products made in the plant will meet the Chinese market, with the remainder exported to other parts of the Asia Pacific.
The air circuit breaker can protect users when a short-circuit or a heavy surge of electricity occurs. It is used in major structures such as airport, factories and buildings.
L&T has been involved in low-voltage switchgear products since 1950 and is now India's biggest maker of the products, accounting for 51 percent of market share in India.
India's fifth-largest private firm has already set up representative offices in Beijing and Shanghai. The firm is ambitious to deepen its roots in the world's fastest-growing major economy.
The firm has supplied specialty industrial valves worth US$25 million in the past two years to petrochemical and power projects in China.
"The company is also considering purchasing a Chinese valve firm," Pereira said, declining to disclose further details.