Ruihu Mould issued an announcement to jointly invest in the lightweight parts project of new energy vehicles with Chery Technology.

Ruihu Mould announced on December 30 that Ruihu Automobile Mould Co., Ltd. (hereinafter referred to as "Ruihu Mould"), Wuhu Chery Technology Co., Ltd. (hereinafter referred to as "Chery Technology") and Wuhu Yongda Technology Co., Ltd. (hereinafter referred to as "Yongda Technology") jointly invested in the lightweight parts project of new energy vehicles, and the project plans to invest in the construction of Wuhu Economic and technological Development Zone in Anhui Province. The main content of the project is the development, design and manufacture of precision aluminum alloy die castings for energy-saving and new energy automobiles. After full production, it has an annual production capacity of 500000 sets of automobile large lightweight parts.

The co-established company is tentatively named Wuhu Ruihu Automobile lightweight Technology Co., Ltd., with a registered capital of 100 million yuan, of which the company holds 45%, Chery Technology 35% and Yongda Technology 20%.

Ruihu Mould believes that lightweight is an important direction for the development of the automobile industry in the future, and precision aluminum alloy is one of the important paths for automobile lightweight, and there are broad prospects for future development. Joint investment in new energy vehicle lightweight parts projects is the common demand of all investors. The partners have synergistic advantages in the development of technology, technology, equipment and industrialization of lightweight automotive parts, and all have the ability to implement contracts, which can promote business development.

However, in the announcement, it also said that because the domestic automotive precision aluminum alloy die casting industry is in the stage of development, the industry concentration is low, the market pattern is not stable and mature, and there is a certain uncertainty in future development, there is a risk that the project company's market development progress is not up to expectations and the construction capacity can not be digested in time.