NOVI, Mich. (March 10, 2011)—Cooper Standard Automotive Inc. and Nishikawa Rubber Co. Ltd. have signed a memorandum of understanding toward the expansion of their existing joint venture relationship, Cooper Standard announced.
Cooper Standard and Nishikawa plan to expand their automotive sealing product manufacturing joint ventures beyond the current operations in the U.S. and Mexico, according to Cooper Standard. Creating a more global alliance will help both companies enhance their capabilities to serve customers around the world, Cooper Standard said.
Under the provisions of the memorandum, the expanded global alliance will begin with two major steps, according to the company.
The first is Nishikawa's sale to Cooper Standard of a 20-percent interest in Nishikawa's sealing business in Thailand. The second is Cooper Standard's sale to Nishikawa of a minority interest in Cooper Standard's sealing plant at Myslenice, Poland.
Nishikawa has also increased its shares in the U.S. joint venture, returning to its original 60-percent ownership of that business, the company said.
Similarly, Cooper Standard will increase its majority holdings in the Mexico joint venture. These and all other actions under the memorandum should be completed by the end of 2011, according to Cooper Standard.
Based in Novi, Mich., Cooper Standard employs some 19,000 workers in 18 countries.