Tingyi-PepsiCo alliance opens beverage plant in China

by Eric Schroeder
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ZHENGZHOU, CHINA — Tingyi (Cayman Islands) Holding Corp. and PepsiCo, Inc. officially opened a new beverage manufacturing plant in Zhengzhou on Oct. 25. It is the first plant opened as part of Zhengzhou PepsiCo Beverages Co., Ltd., the alliance created by the two companies in March.

The Tingyi-PepsiCo alliance is already the largest liquid refreshment beverage system in China, with more than 70 plants and a national distribution network.

“China is a dynamic food and beverage market and a critical engine of growth for PepsiCo,” said Indra Nooyi, chairman and chief executive officer of PepsiCo. “Our game-changing alliance with Tingyi is off to an excellent start, and we see tremendous opportunities to further expand our business throughout the country. The Zhengzhou plant is a gateway to the growing markets of central and western China and will enable us to put more PepsiCo products in the hands of more consumers than ever before.”

The 258,000-square-foot plant includes two beverage production lines, with room to add additional lines in the future. The facility will supply the beverage marketplace in Henan province, while further enhancing the companies’ ability to provide consumers throughout central and western China with a wider range of beverage choices.

Additionally, the facility was built in accordance with criteria set by Leadership in Energy and Environmental Design (LEED). The technologies installed in the facility are expected to reduce energy consumption by 29% and water usage by 20% compared to the standard beverage plants in China. The Tingyi-PepsiCo system now includes four LEED-certified plants in China, with Zhengzhou joining beverage manufacturing facilities in Chongqing, Nanchang, and Kunming.

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