Mitsubishi organizes energy subsidiary in China

Expects steady market growth in China.

Mitsubishi Electric Corporation has established a subsidiary in Beijing to increase sales of its energy systems and engineering services in China. The new company will begin operations in December.

The objective of the subsidiary, Mitsubishi Electric Power & Electrical Infrastructure Systems (Beijing) Company, is to boost Mitsubishi’s energy system revenues in China to over US$306 million in fiscal 2017 from US$204 million in the business year ending March.

The subsidiary plans to open branch offices in Shanghai and Guangzhou to enhance ties with local business partners, expand repair and maintenance services and promote entry into new businesses, such as smart grids. It is capitalized at US$3 million.

China is forecast to replace North America as the area with the world’s largest power generation capacity by 2020.