Azbil Extends Joint Venture Contract with Shanghai Petrochemical Investment & Development Co., Ltd.
- Future development to build upon close long-term Chinese-Japanese partnership -

May  20, 2015

Azbil Corporation has agreed on a 10-year extension of the joint venture contract for Shanghai Azbil Automation Co., Ltd. (head office: Shanghai, China; president: Shigeru Wada), a joint venture company established with Shanghai Petrochemical Investment & Development Co., Ltd. (head office: Shanghai, China; president: Gu Chao ran), prior to November 30, 2015 when the current 20-year contract expires.

For business in China, Azbil Corporation has maintained a close business association for many years with Sinopec Shanghai Petrochemical Co., Ltd. (SPC), the parent company of Shanghai Petrochemical Investment & Development Co., Ltd., In the 1970s, when SPC commenced operation of the Shanghai Petrochemical Complex, Azbil supplied many industrial automation products for its plants. In April 1980, Azbil established an engineering service center in China to provide technical services.

In the 1990s, the Chinese government continued to promote its economic reform and market-opening policies, transforming itself into a major market economy. In December 1995, Shanghai Petrochemical Investment & Development and Azbil established a joint investment company, Shanghai Yamatake Jinshan Control Instrument Co., Ltd. (presently Shanghai Azbil Automation Co., Ltd.).

During the past 20 years, the joint venture company has combined the corporate cultures and management philosophies of Shanghai Petrochemical Investment & Development and Azbil, strengthened mutual relationships between the two companies, and steadily expanded its business. The number of employees has grown from five at the time of company's founding to about 200 at present, and the company has become an important subsidiary for Azbil's international business operations. The value of its business association with Shanghai Petrochemical Investment & Development led Azbil Corporation to support extension of the joint venture contract.

Shanghai Azbil Automation strives to expand business in China by collaborating with Azbil Control Instruments (Dalian) Co., Ltd., which is the azbil Group's production base in China, and with other subsidiaries in the country, and also by drawing on its business structure for regionally rooted, integrated operations for the production, sales and maintenance of products.

Guided by its philosophy of "human-centered automation," the azbil Group provides solutions that result in comfort, safety, and energy conservation in the most suitable ways for customers and communities in China.

* Posted information is accurate as of the date of announcement.