SHANGHAI, China (July 24) — Automotive parts maker ArvinMeritor Inc. has joined China's Chery Automobile Co. Ltd. to design and manufacture chassis systems and components.
The joint venture, called ArvinMeritor Chassis Systems Wuhu Co., will evolve to a $150 million full-systems chassis supplier by 2010, the companies said. Production of shocks and struts will begin as early as 2008.
Phil Martens, president of ArvinMeritor's Light Vehicle Systems business group, said the deal will help the firm increase business with Asian customers, expand in emerging markets and increase its light vehicle chassis business.
Rakesh Sachdev, president of ArvinMeritor's Asia Pacific operation, said the plant in Wuhu will be one of several China-based facilities ArvinMeritor is adding to its network over the next 18 months in support of new business with customers in the region.