Nexteer to build steering parts plant in Chongqing
Nexteer Automotive Corp., a Chinese-owned U.S. producer of steering systems, has signed up a local Chinese partner to build a plant in the southwest China municipality of Chongqing to supply automakers in the region.
Nexteer's 50-50 joint venture with Chongqing Changfeng Machinery Co. will begin building the factory this month.
The plant, with investment of more than 300 million yuan ($48.8 million), is due to start producing Nexteer's electronic power steering parts in October.
The factory will mainly supply state-owned Chinese automaker Chongqing Changan Automobile Co. and Chongqing joint ventures of Ford Motor Co. and Suzuki Motor Corp.
In China, Nexteer has plants in Suzhou, Wuhu and Zhuozhou that make electronic and hydraulic steering components.
Nexteer, previously General Motors' in-house supplier of steering components, was acquired in 2010 by China's Pacific Century Motors, which is part-owned by Beijing's municipal government.
Chongqing Changfeng Machinery, a state-owned Chinese company, produces mechanical and hydraulic steering components.
The plant, with investment of more than 300 million yuan ($48.8 million), is due to start producing Nexteer's electronic power steering parts in October.
The factory will mainly supply state-owned Chinese automaker Chongqing Changan Automobile Co. and Chongqing joint ventures of Ford Motor Co. and Suzuki Motor Corp.
In China, Nexteer has plants in Suzhou, Wuhu and Zhuozhou that make electronic and hydraulic steering components.
Nexteer, previously General Motors' in-house supplier of steering components, was acquired in 2010 by China's Pacific Century Motors, which is part-owned by Beijing's municipal government.
Chongqing Changfeng Machinery, a state-owned Chinese company, produces mechanical and hydraulic steering components.
