Germany-based Bosch Group will set up a software and engineering centre in HCM City in the third quarter of this year.

The new centre, an expansion of the operations of Robert Bosch Engineering and Business Solutions Limited in India , is the first investment of its kind by the group in Southeast Asia , said Quang Hue Vo, managing director of Robert Bosch Vietnam Co Ltd at a press briefing last week.

Hue said the main focus of this centre would be embedded software development, IT software and mechanical engineering services.

He attributed Bosch's decision to set up the new centre in HCM City to good IT infrastructure facilities and available IT talent in the country.

The centre is expected to employ 100 engineers in 2011 and increase it to around 500 by 2015.

"More importantly, with the setting up of the software and engineering centre here in Vietnam, we will build a foundation to impart specialised know-how to the country,” said Cem Peksaglam, President and Managing Director of Robert Bosch (SEA) Pte Ltd. "The investment will also allows us to serve and support our customers in Asia Pacific better," he said.

Bosch would like to invite local talent to join its operations in Vietnam , Hue said. Both the plant for the Gasoline Systems division, as well as the latest software and engineering centre in HCM City , are keen to employ local talent. The group is expected to employ some 1,200 qualified associates at both locations by 2015.

Bosch works hand-in-hand with local universities, institutions and partners to promote vocational programmes, a company press release said.

To date, Bosch Vietnam is the largest sponsor of the Nhat Nghe Tinh (One Skilled Job) programme, which is organised by the Tuoi Tre, Giao Duc TP HCM (HCM City Education) and Saigon Times newspapers, to donate automotive equipment and power tools, as well as giving financial assistance to vocational school students

Due to the global economic crisis, Bosch's sales in Vietnam slipped 9 percent year-on-year to 10 million euros in 2009.

However, the group's business division in Vietnam has shown the most promising results in the first four months of this year, Hue said.

"The results we have attained thus far shows that we have the right strategy to capture the market in Vietnam ," said Hue .

The Bosch Group, which has been present in Vietnam since 1994, set up the 100 percent foreign-owned Robert Bosch Vietnam Co in December 2007.

The company has been operating the Continously Variable Transmissions push-belt assembly at its facility in the Long Thanh IP, southern Dong Nai Province since August 2008./.