According to information it released last week in Paris, Valeo will allocate two-thirds of its advanced research investment for technology development in the areas of downsized internal combustion engines and hybrid and electric vehicles.

By doing that, Valeo expects to double its sales for technologies linked to CO2 emissions reduction to 1 billion euros by 2013 and then more than 5 billion euros by 2020. 

The French company also plans to devote 60 percent of its investments to emerging countries, notably China, India, Brazil, Thailand, Turkey and Russia to strengthen its presence there. It aims to boost its annual sales in China and India to 1 billion euros by 2013 and to 3 billion euros by 2020.   

"Two major trends should drive growth in the automotive market in the next few years: CO2 emissions reduction and high growth in emerging markets," said Jacques Aschenbroich, Valeo's Chief Executive Officer in a statement. "By focusing our investments in these two areas, I am convinced that Valeo will be able to return to organic growth and play an active role in the consolidation of the sector." 

Valeo has 120 plants, 21 research centers, 40 development centers and employs 52,200 people in 27 countries worldwide. It runs three r&d centers and 18 plants in China making products ranging from lighting to climate control systems.