The plant is built on a 50,000sq.m site and is 25,000sq.m in size.

Built at a cost of 45 million euros (US$50.3 million), it is equipped with advanced machinery and technologies to meet the companys commitment to maintain product quality.

The company considers it one of its modern anywhere in the world.

The plant will produce all kinds of bearings for machinery used in agriculture, construction and mining, power transmission, food processing, and textile, paper, steel, cement, and motorcycle production.

It will enable Schaeffler to increase production of its existing product ranges and add new product lines like radial insert ball bearings and its flagship - needle roller bearings.

Speaking at the ceremony, Georg F.W. Schaeffler, chairman of Schaeffler Group, said Viet Nam has a strategic location in Asia and a diversified, stable and fast-growing economy with a talented and well-educated workforce, which was why his company chose the country to build its first manufacturing plant in Southeast Asia.

The factory will also be the first in Southeast Asia to apply the latest Industry 4.0 solutions developed by Schaeffler with 70 condition monitoring devices.

It is expected to provide more than 300 jobs to skilled workers.

The company hopes to expand it in future at a cost of US$67 million to produce parts for robots and increase the number of employees to 800.

Helmut Bode, CEO of Schaeffler Asia Pacific, said the company would continue to develop technologies and product quality to deliver the highest value to customers.

Seunghun Park, managing director and plant manager of Schaeffler Vietnam, said the expansion of capacity would give the company a chance to achieve higher standards of quality and customer satisfaction while contributing to the growth of the industrial sector in Viet Nam.— VNS