Construction on the phase one project of Suzhou Haitai Automobile Technology Co in Taicang, East China's Jiangsu province started in March and the plant will soon start operations, local media reported on Nov 20.

Suzhou Haitai Automobile Technology Co is a wholly-owned subsidiary of Haitai Group, which is headquartered in Shanghai. The branch dedicates itself to the development and manufacturing of key parts for new energy automobiles.

According to Yang Lingfan, an executive of Suzhou Haitai Automobile Technology Co, the phase one project is expected to generate nearly 300 million yuan ($46.98 billion) in annual output.

Yang said that the phase two project will begin once the phase one project is operating at full capabilities.