The first vehicle rolls off the production line at Scania's Rugao base. [Photo/WeChat account: rugaofabu]

The second Scania Industrial Operations Asia Supplier Conference took place from March 13 to 14 in Rugao, Nantong, bringing together nearly 1,000 representatives from over 500 global partners to discuss high-quality development strategies.

Ruthger de Vries, president of Scania Industrial Operations Asia, announced that the construction of Scania's Rugao industrial production base has been completed and the facility is now in the equipment commissioning and validation phase. The first prototype vehicle has rolled off the production line and is currently undergoing nationwide road testing, with full-scale production expected to begin in the fourth quarter of 2025.

As Scania's most advanced and sustainable production base globally, the Rugao facility is set to enhance capacity and inject new momentum into the company's global production network, de Vries stated.

The Rugao base, Scania's third industrial operations hub, adheres to global standards in production processes, equipment, and procedures. It is designed to be a carbon-neutral factory, reducing reliance on fossil fuels through the use of biofuels and green electricity. Additionally, the facility seeks to integrate cutting-edge technologies from China to accelerate advancements in sustainable and high-performance commercial vehicles.

"Our localization target is 85 percent, which extends beyond sourcing raw materials and components. It reflects our deep understanding of the Chinese market and the full utilization of local innovation, particularly in key areas such as autonomous driving, intelligent connectivity, and electrification," said Leonardo Del Pra, vice-president of purchasing at Scania Industrial Operations Asia. 

Fang Tinghai, general manager of Adler Pelzer Group China, expressed the group's commitment to aligning its product development with Scania's operations in China and the decision to establish a new factory in Rugao to continue providing cost-effective, high-quality products to Scania.