STEIHAU, Germany—Sumitomo Riko has started construction of a new technology center in Steinau for anti-vibration systems.
The facility will be established under SumiRiko AVS Germany GmbH, a Hesse, Germany-based subsidiary devoted to the research, development and sales of anti-vibration rubber for vehicles, the company said in a news release.
The project consists of an extension of the current administration building and a technology center and will comprise a total of about 57,000 square feet of floor space. Completion is set for spring 2019.
The company currently houses its Development and Process Technology departments in a rented building.
Sumitomo Riko has earmarked $11.6 million for the project, which will aim to develop tailor-made products for OEM customers amid the major changes in the automotive industry.
"The automotive industry is currently undergoing tremendous technological change through the use of electric drives and autonomous driving," said Tsutomu Matsuoka, executive managing director of the Sumitomo Riko Group.
The company expects to optimize the current development processes and create space for the development of new technologies through the new center, according to Hiroaki Tanahashi, chief technology officer of SumiRiko AVS Germany.
Olaf Hahn, managing director of SumiRiko AVS Germany and responsible for the AVS business in Europe, said Sumitomo Riko already is developing many components for new vehicle concepts. "(These concepts) will soon go into series production and (we) are now rigorously aligning our development conditions with the new challenges," he said.
Sumitomo Riko acquired the Anvis Group in 2013 and has since been seeking to expand its anti-vibration systems in Europe.