(Yicai) Dec. 20 -- Kehua Holdings, a Chinese manufacturer of car parts, plans to invest up to USD16 million to establish a subsidiary and build a plant in Thailand to promote its overseas expansion.

Kehua will use its own funds to set up Kehua Holdings Thailand, the Changzhou-based company announced yesterday. The investment will cover the establishment of the unit, construction of a plant, relocation of equipment, and professional services, it added.

The Thailand investment marks a significant step in Kehua's global strategy, aligning with the firm's long-term development plans to better serve overseas customers and enhance its international competitiveness, according to the company.

Kehua focuses on making turbocharger parts, hydraulic pump valves, and construction equipment. It counts Honeywell International, BorgWarner, Mitsubishi Heavy Industries Shanghai, and Ishikawajima-Harima Heavy Industries as auto turbocharger components clients, with its products widely exported to North and South America, Europe, Japan, and South Korea.

Shares of Kehua [SHA: 603161] rose 1.3 percent to CNY10.94 (USD1.50) each as of 10.35 a.m. in Shanghai today.

Editor: Martin Kadiev