Chennai, India - Automotive seating solutions supplier Harita Systems Ltd of India has signed a letter of intent for a Euro-420 million ($620-million) joint venture in India with Germany-based interior components specialist FS Fehrer Automotive GmbH.
Expected to be operational within three months, the new Harita-Fehrer joint venture will be 51-percent owned by Harita, whilst Fehrer will retain the remaining 49 percent.
With production sites in Hosur and Pune, Harita-Fehrer will produce polyurethane moulded foam pads for seats, plastic components for the Indian automotive market and motorbike seats.
"Harita-Fehrer will combine the expertise of Fehrer in the complete value added chain with the distinct market closeness of Harita. Thus, the joint company guarantees custom-made products for India's automotive industry,'' said Bernd Welzel, ceo of the Fehrer Group.