Automotive supplier Magna is expanding its manufacturing presence in China with a new plant in the Jiujiang Economic Development Zone in Wuhu, aiming to meet accelerating demand for electric drive systems as the country’s new energy vehicle sector continues to grow.
Magna said the facility, which covers more than 14,800 square metres and is expected to support around 200 jobs once fully operational, will initially supply eDrive systems to Chery, with additional automakers to be added over time.
See also: Magna Names Philip D. Fracassa as Chief Financial Officer, Replacing Patrick McCann
The company described the systems as providing “smooth, high-performance electric propulsion with a scalable architecture for a wide range of battery electric vehicles,” though it did not specify individual variants.
The expansion comes as China’s shift toward electrification gains momentum. New energy vehicles accounted for 51.4% of national sales in October 2025, marking the first month in which they surpassed half of the market. Magna said local production is becoming increasingly important as automakers broaden their electrified offerings. “As China’s automotive industry accelerates toward electrification, localized production of electric technologies is more critical than ever,” the company said.
See also: Magna Raises 2025 Sales Forecast After Cost Cuts, Q2 Beat
Diba Ilunga, President of Magna Powertrain, said the new site reinforces the supplier’s strategy to support customers transitioning to electric mobility. “This expansion reflects Magna’s commitment to supporting our customers’ electrification strategies and advancing sustainable mobility,” Ilunga said. “Wuhu offers a strong industrial foundation and an environment conducive to innovation.”
Magna reported $5.6 billion in sales in China in 2024, with more than 60% coming from Chinese manufacturers and the remainder from international clients.
