Faurecia and Dongfeng to form parts supply partnership
Faurecia SA will establish a joint venture with a subsidiary of Dongfeng Motor Corp. to supply auto parts to Dongfeng and its joint ventures.
The French supplier's partnership with Dongfeng Hongtai Holdings Group Co. will be in the central China city of Wuhan.
The venture will produce interior and exterior components, according to the agreement signed on March 27.
The partnership soon will expand its product mix to include seats and emission control parts. It also will establish an r&d center in Wuhan, according to Faurecia.
The new venture has secured a contract to supply Dongfeng Peugeot Citroen Automobile Co. in the southwest China city of Chengdu.
With the new venture, Faurecia expects to increase its annual sales in China to 2 billion euros (13.35 billion yuan) in the medium term.
The partnership with Dongfeng will be Faurecia's second joint venture with a major state-owned Chinese automaker. In 2013, the French supplier formed a partnership with Chongqing Changan Automobile Co.
Faurecia has 38 factories and three r&d centers in China, which employ 12,000 workers. It aims to double annual sales in China to more than 4 billion euros by 2018.
Dongfeng, headquartered in Wuhan, produces trucks and passenger vehicles under its own brands. Aside from PSA, it runs joint ventures with Nissan, Honda, Renault, Kia and Taiwanese carmaker Yulon.
The venture will produce interior and exterior components, according to the agreement signed on March 27.
The partnership soon will expand its product mix to include seats and emission control parts. It also will establish an r&d center in Wuhan, according to Faurecia.
The new venture has secured a contract to supply Dongfeng Peugeot Citroen Automobile Co. in the southwest China city of Chengdu.
With the new venture, Faurecia expects to increase its annual sales in China to 2 billion euros (13.35 billion yuan) in the medium term.
The partnership with Dongfeng will be Faurecia's second joint venture with a major state-owned Chinese automaker. In 2013, the French supplier formed a partnership with Chongqing Changan Automobile Co.
Faurecia has 38 factories and three r&d centers in China, which employ 12,000 workers. It aims to double annual sales in China to more than 4 billion euros by 2018.
Dongfeng, headquartered in Wuhan, produces trucks and passenger vehicles under its own brands. Aside from PSA, it runs joint ventures with Nissan, Honda, Renault, Kia and Taiwanese carmaker Yulon.
