(Yicai) Oct. 25 -- Shares of Jiangnan Mould and Plastic Technology jumped after the Chinese supplier of exterior auto parts said a new order placed with its Mexican plant could be worth as much as USD850 million.

Jiangnan Mould [SHE: 000700] closed 6.6 percent up at CNY8.11 (USD1.25) a share in Shenzhen today, after soaring by as much as 8.8 percent in the afternoon trading session.

The Mexican plant will be the designated supplier for a new energy vehicle model recently launched by a leading overseas maker during the course of its expected five-year lifespan, the Jiangyin-based company said late yesterday.

The plant will supply the carmaker with 300,000 sets of vehicle bumpers worth USD767 million and 300,000 sets of car door threshold and wheel eyebrows worth USD83 million, the firm said. The new model is expected to start mass production in January 2025.

The deal, which is expected to positively impact the company's future earnings performance, will bring the Mexican plant greater market opportunities in North America, Jiangnan Mould added.

This is Jiangnan Mould’s second big order for external car parts from a North American NEV maker in the past two months. In late August, the company said the Mexican plant would supply wheel cladding, rocker panel trims, liftgate trims, and other parts to US startup Lucid Group between 2024 and 2028. The order is expected to bring annual operating income of USD22 million.

The Mexican plant counts BMW and Tesla as clients and is striving to attract more customers in the North American region, including Stellantis, an executive at Jiangnan Mould said in July.

Editor: Futura Costaglione