Geely Holding Group's Drivetrain Systems International (DSI) gear-box project, with an expected annual output of 300,000, formally began operations in Tongliang County, Chongqing on Wednesday.

The project centers on the key core component for manufacturing cars and can effectively solve the equipment problems of cars manufactured in Chongqing. Once underway, other than equipping Geely cars, the project will also focus on the city's middle and high-end auto market.

In 2009, Geely's automatic gear-box project was established in Tongliang. It was then that Geely's related branch Chengdu Gaoyuan Auto Co., Ltd and Australia's DSI joined hands and established the Chongqing DSI Gear-box Manufacturing Co., Ltd which will be mainly in charge of the new endeavor that will produce 300,000 7DCT gear-boxes annually.

It is said the project could achieve sales revenue of 3.6 billion yuan, and the products will mainly supply the firm's plants and other domestic auto corporations. The first round of products will be available by the end of 2012.