This aerial photo taken on July 14, 2023 shows the night view in Chengdu of southwest China's Sichuan Province. (Xinhua/Xu Bingjie)

Idemitsu Kosan, a Fortune Global 500 company, has announced an investment increase in the southwestern Chinese metropolis of Chengdu, aiming to establish its Chinese headquarters there, local authorities said on Thursday.

Idemitsu Kosan and Xi'an Manareco New Materials Co., Ltd., have reached cooperation agreement and two sides intended to increase investment and expand production of the former's manufacturing base in the Chengdu high-tech zone.

The new development aims to transform the electronic material manufacturing base into a Chinese headquarters that integrates research and development, manufacturing, sales and other functions, and contribute to the development of local new display sector.

Founded in 1911, Idemitsu Kosan is one of the largest petrochemical enterprises in Japan. As one of the earlier Japanese companies to enter the Chinese market, Idemitsu Kosan's investments in the Chinese mainland cover various fields including energy, chemicals, lubricants, high-performance materials and electronic materials.

In May 2018, Idemitsu Kosan invested 240 million yuan (about 33.7 million U.S. dollars) in Chengdu to build its electronic material manufacturing base. This project is Idemitsu Kosan's first OLED emissive material manufacturing plant in China.