By Nina Ying Sun, Plastics News Staff
Ningbo, China -- Tier one auto supplier ABC Group Inc. of Toronto has formed a joint venture with Ningbo Inoac Huaxiang Automobile Products Co. Ltd (IHX), a move that's believed to strengthen both parties' global platforms.
The joint venture, Ningbo ABC Inoac Huaxiang Co. Ltd (AIH), is based in Ningbo, Zhejiang province. It is expected to help increase market share for both parent companies, as it extends their ability to supply customers on a global basis, particularly in the fast growing Chinese market.
"ABC Group's expanded presence in China is an important part of our global growth plan," said ABC Chairman Helga Schmidt, in a news release.
IHX has been serving the Chinese auto industry since 2002. The joint venture will help broaden its product offering and customer base, said Chairman Ken Miwa.
The facility will manufacture interior, exterior and engine support products for customers including Volkswagen, Toyota, Nissan and Daimler. The company also plans to start supplying to North American OEM's in the near future.
ABC Group will introduce its innovative blow and injection moulding and its system-based manufacturing expertise into AIH.
IHX is a joint venture between Japan's Inoac Corp. and China's Ningbo Huaxiang Electronic Co. Ltd, formed in 2002 to make and exporting plastic components for theautomotive industry, from a factory in Ningbo. In addition to injectionand blow moulding, it has expertise in gas injection.
The operation makes various trim parts, and also produces some polyurethane foam products.
ABC also has a strategic alliance agreement with YAPP Automotive Parts Co. Ltd. to supply fuel tanks in North America, Europe and Asia.