According to a report by Reuters, Merida Industry Co has announced that it will invest US$50 million to indirectly set up a subsidiary in Jiangsu, mainland China.
This move by Taiwan’s Merida is a significant investment and follows a number of large investments by leading Taiwanese biking operator Giant. In 2010, Giant spent US$36 million building its ninth bicycle factory in China, in Kunshan City.
From August 2010 to December 2010, Merida invested around NT$250 million (US$8 million) in expanding its production capacity. At its factories in Taiwan and China, Merida has procured new processing and production equipment and has made improvements to existing production lines.
Further details on the latest investment in China by Merida are expected in the coming weeks.
