Knorr-Bremse of Germany has established a joint venture with Chongqing Machinery & Electronics Holdings in which the Chinese partner holds a 34 per cent stake. The company will manufacture brakes for commercial vehicles, and at the start of production it will employ around 600 workers.

Knorr-Bremse is the world's leading manufacturer of braking systems for rail and commercial vehicles, and it has nine production plants in China.