Bosch purchase in China to be trebled

According to Albert Bosch, purchasing director Ulrich Adler, Bosch will treble its purchase quota in China to 1.0 billion Euros by 2007, while this quota only reached 300 million in 2006, lagging far behind the total group budget of 20 billion per annum. 

Ulrich stated that "China suppliers are capable to meet EU standards and Bosch targets to find more mechanical component suppliers in China". Bosch has owned roller bearing and rubber components suppliers in China.

"Global purchasing is an urgent measure for top suppliers to cut costs and stabilize the distribution of supply bases due to the current fierce price competition in the world's auto market, especially the US," added Ulrich.

Bosch will try to seek the most competitive supplier in China, at the same time minimize the quantity of suppliers in general so as to secure better service and quality with lower costs.

Bosch initiated a global purchasing program that started on 2002. The global purchasing management center of the group commits on purchasing plastic, aluminum, rubber components as well as other hot parts. Bosch predicts the 15 centers may hold 5 a billion Euros purchasing budget accounting for 40% of the total, while this rate will raise by 60% to 6.5 billion Euros by 2006.