TURIN, Italy-Saiag S.p.A., the Italian hose and belt maker, has taken a 30-percent stake in a joint venture with China's leading car maker, Shanghai Automotive Industry Corp., to make rubber components for cars.
Saiag said the venture-Shanghai SAIC Saiag Sealing Co.-has a capital of $36.2 million. The new firm will supply parts to the SAIC-Volkswagen car plant currently making 200,000 Santana-model cars per year. This is expected to increase to 330,000 units per year in 1996 and to 500,000 by the year 2000.
Saiag said the venture will generate sales of $54 million in 1997, and double that in 2000. The Italian firm is responsible for engineering, machinery, staff training and technical assistance.
Saiag already has joint ventures in France, India and the Commonwealth of Independent States. The company reported 1994 sales of $380 million, up 18 percent from the previous year.