Manufacturing News

CIE Automotive seeks aluminum castings plant in China

Spanish supplier CIE Automotive says it will build an aluminum castings plant in China – if it can line up a customer.

John Mack, the president of CIE Automotive China, says he wants to generate company sales of 300 million yuan in China in 2014, up from a projected 80 million yuan this year.

Aside from the aluminum castings business, Mack also wants to open plastics plants and precision machining operations in the Beijing area and southern China.

In China, CIE sells mainly to Tier One suppliers such as Autoliv, Faurecia and Takata. But Mack also wants to sell directly to automakers, and he has lined up a contract to supply Mercedes.

CIE currently employs 192 workers at its factory in Jiading, which produces armrests, ashtrays and airbag containers. By 2014, that plant will employ 300 workers.

The company operates 70 plants in Mexico, Guatemala, Brazil, the United States, Russia and Europe. But CIE has had little success in China, a market that it entered in 2005. Its first joint venture, Sandun Auto Parts Co., tried and failed to secure contracts with Chery and FAW-Volkswagen.

CIE dissolved that joint venture and brought in Mack, the former president of Inalfa China, to run its China operation last July. He quickly shut down two small factories in a Shanghai suburb and consolidated all operations in Jiading.

The company hopes to fuel its growth with sales to domestic Chinese automakers. Mack says he also may acquire some smaller suppliers. "Our growth plan is aggressive," he said.

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