Unilever, the Anglo-Dutch multinational, is to set up a new production base in Meishan, Sichuan province. It will invest Rmb300m in the first phase of the plant, which will make laundry detergent.

Paul Polman, CEO of Unilever, said that the new plant would exploit lower material and labour costs in the area and also help the company expand in the growing western region market.

Meishan is located about 50km south of the provincial capital, Chengdu.