MILAN, Dec 3 (Reuters) - Italian cooling systems maker LU-VE LUVE.MI has expanded its Chinese production hub to meet growing local demand for refrigeration equipment for data centres.

Located in the city of Tianmen, part of China's central Hubei province, the expanded plant will cover an area of over 43,000 square meters, more than doubling the previous size, Milan-listed LU-VE said in a statement.

The plant expansion was part of a state-backed programme aimed at stimulating foreign investments in the internal and western areas of China, said LU-VE, adding the facility benefited from tax breaks, cheaper energy and rent costs.

LU-VE president and Chief Executive Officer Matteo Liberali said the expansion will help the company to increase its role in the fast-growing Chinese data centre market.

"We have started a two-year supply programme with one of the major local operators, while other negotiations are under way," the executive said.

(Reporting by Elvira PollinaEditing by Keith Weir)

((elvira.pollina@thomsonreuters.com;))