KOMAKI CITY, Japan—Tokai Rubber Industries Ltd. is acquiring Produflex Minas Industria de Borrachas Ltda., a Brazilian manufacturer of automotive rubber parts.
The Japanese company also plans to set up a market research company in Brazil, called TRI Brazil, that will purchase shares of Produflex, making it an indirect subsidiary of Tokai.
Produflex makes automotive anti-vibration systems mainly in Brazil, but it also has sales channels to Europe-based automotive makers in Brazil, Tokai said. The manufacturer said the South American automotive market is rapidly expanding because of strong demand, and the purchase completes Tokai's goal of establishing production bases in all the world's major automotive markets.
Tokai earlier this year purchased German auto parts maker Anvis Group GmbH.