CRRC continues to invest in UK

FORM: 15/02/2019 Browse number:2196

At a state-of-the-art laboratory in Lincolnshire, eastern England, a group of Chinese and British engineers are enthusiastically discussing the development of the next generation insulated-gate bipolar transistor, which helps run, among other things, high-speed trains.

The laboratory is owned by Dynex, a 63-year-old company that in the 20th century was Britain's biggest high-voltage semiconductor maker before going into decline amid the global financial crisis in 2008.

Dynex was rescued after being acquired by CRRC through its subsidiary CRRC Times Electric. This has resulted in a decade of investment to improve Dynex's expertise in manufacturing and research and development.

Despite uncertainties over Brexit, CRRC and Dynex have invested $10 million to $12 million annually in the R&D center in Lincolnshire, with the latest components being used in CRRC trains.

CRRC and Dynex are also jointly investing in a new innovation center in the English city of Birmingham this year to develop chips for use in the huge electric car market in China and internationally. The center aims to employ 100 engineers this year, with the number to rise to 200 to 300 in the next few years.

Otherwise, CRRC has completed an acquisition of the UK-based manufacturer of ocean engineering products, Specialist Machine Developments Limited (SMD) , which represents an opportunity to develop CRRC’s presence in the ocean engineering equipment industry.

CRRC's strategy provides a snapshot of continued Chinese investment in the United Kingdom, driven by companies' desire to seek technological know-how, brands and new markets.