China’s Kaixi Group to invest $40 million in Bepza Economic Zone

China's Kaixi Group is set to invest a further $40 million to establish an intimate apparel and accessories manufacturing facility at the Bepza Economic Zone (Bepza EZ) at Mirsharai in Chattogram.

The factory will produce 18 million pairs of lingerie and undergarments and 20 million pairs of bra foam and bra cups annually, creating employment for 3,003 Bangladeshi nationals, according to a press release.

Xiao Hongxi, chairman of Kaixi Garments Bangladesh Limited, a subsidiary of Kaixi Group, and Md Ashraful Kabir, member for investment promotion of the Bangladesh Export Processing Zones Authority (Bepza), signed an agreement in this regard at the Bepza Complex in Dhaka today.

Maj Gen Abul Kalam Mohammad Ziaur Rahman, executive chairman of Bepza, attended the signing ceremony and welcomed Kaixi Group's decision to expand just 14 months after commencing operations, describing it as a testament to growing foreign investor confidence in Bepza, particularly in the Bepza EZ.

Speaking at the event, Xiao Hongxi cited operational challenges, notably the lack of nearby worker housing, which forces the company to transport employees from distant locations and delays morning attendance.

Nevertheless, he reaffirmed Kaixi's long-term commitment to Bangladesh and to the Bepza EZ.

Kaixi's first project in the Bepza EZ was approved in November 2022 with an investment proposal of $60.85 million, and its commercial production began in June 2024, currently employing about 3,700 workers.

Combined, Kaixi's two factories — one in Dhaka EPZ and the other in the Bepza EZ — provide jobs for around 6,000 workers.

To date, 45 companies, including Kaixi Garments Bangladesh Limited, have signed agreements to invest over $1 billion in the Bepza EZ, of which four have already commenced commercial operations.

The Bepza EZ is the largest initiative undertaken by Bepza, reflecting the authority's commitment to advancing industrial growth, generating employment, and boosting export earnings in Bangladesh.