Nestlé to expand manufacturing capacity in China with $103m investment

Swiss multinational food and drink processing company Nestlé has announced an investment of Sfr100m ($103m) to enhance its manufacturing capacity in China.

As part of this, Nestlé China signed a memorandum of understanding with the Tianjin Economic-Technological Development Area (TEDA) Administrative Commission.

The company is planning to open its new plant-based products manufacturing facility in China, which will be its first facility in the Asian region.

The investment will also be used for expanding Nestlé’s confectionery business in the country by upgrading the production line of Nestlé Chengzhen Wafers.

Nestlé Great China Region chairman and CEO Rashid Qureshi said: “Nestlé has a strong commitment to China and has long been dedicated to deepening our roots in the Chinese market.

“Since Nestlé opened the first factory in Tianjin in 1994, we have continued to increase our investment and regard TEDA as one of our important bases in China.

“We are grateful to the local government for always providing Nestlé with such an excellent business and investment environment.”

The Swiss firm also intends to further develop its Tianjin Nestlé Quality Assurance Center.

With these investments, Nestlé aims to contribute to the transformation and upgrading of China’s food industry. The company also intends to use the investment to significantly expand the production capacity of its pet food plant in Tianjin region.

TEDA party secretary and Administrative Commission director Zheng Weiming said: “Since the Covid-19 epidemic in China, Nestlé has actively responded to the government’s call to promote economic development and continued to increase its investment and expand production in Tianjin.”