Osaka-based Japanese resin manufacturer Sanyu Rec will build a factory in Taicang port, Suzhou, East China's Jiangsu province, local media reported from the project signing ceremony on Oct 13.

With an investment of $30.36 million, Taicang Sanyu Resin Factory will produce resins for applications in various types of electronic devices and automobile electronic components satisfying requirements for heat resistance, waterproofing, insulation, and flame-resistance.

The Taicang branch is expected to achieve an annual output of 200 million yuan ($29.76 million). It will also contribute to 15 million yuan in taxes.

Sanyu Rec was founded in 1963 and is headquartered in Osaka. The company focuses on electricity and electronic materials, semiconductors and LED materials, construction and industrial materials, and composite materials, developing  resins specific to each industry.

Sanyu Rec launched a similar branch in Shanghai in 2003. The branch has proved a success, supplying resin products to Panasonic, Hitachi, Toyota, Honda, Siemens, and Samsung.

Japan is Taicang's third largest business partner, and more than 170 Japanese enterprises are operating in the city, forming several industrial clusters and attracting manufacturers such as Komatsu, Sojitz Group, and Nippon Steel.