Corning Inc. said its board of directors have given the green light for a $170 million plan to increase capacity of the company's clean-air-products factory in Shanghai.
The New York-based manufacturer of specialty-glass and ceramic components said the expansion will enable the facility to produce more emissions-control substrates for light-duty passenger vehicles.
This is the third announced expansion of the factory, which is operated by Corning Shanghai Company Ltd., Corning's wholly owned venture in China. Corning first expanded the facility in 2007 and last year announced a $125 million second expansion of the facility.
Corning expects this latest expansion to be completed in third-quarter 2013.
"Global sales of automobiles, particularly in China and across Asia, are forecasted to grow steadily over the next several years, increasing demand for Corning's advanced substrates," said Mark Beck, senior vice president and general manager, Corning Environmental Technologies.
"Strict emissions regulations around the world are driving vehicles to use more substrates than before and to use advanced substrates. This significant investment will help us to meet the growing demand."
In addition to manufacturing advanced substrates, Corning Shanghai also provides sales, marketing and engineering support for its customers in China and throughout Asia.