TRW Automotive Expands Chinese Operations
SHANGHAI, China, April 19 -- TRW Automotive Holdings Corp. today announced the expansion of its facilities in Anting, China in support of the Company's growing Chinese and Asia Pacific customer base. The Company announced the expansion of one facility in Anting and the relocation of another from its current Shanghai city location to a larger site also in Anting.
(Logo: http://www.newscom.com/cgi-bin/prnh/20010824/TRWLOGO )
TRW Automotive Components (Shanghai) Co. Ltd. (TACS), a wholly-owned subsidiary of the Company, was established in 2002 and manufactures airbag electronic control units and steering gear assemblies. Due to a growth in demand, the Company has increased its investment in TACS, facilitating the relocation within Anting to a new, larger 20,000 square meter, purpose-built facility -- almost five times the size of its previous site. The expansion will allow for the production of new airbag electronic control units in the future.
The Shanghai TRW Automotive Safety Systems Co., Ltd. (STASS) operation produces occupant safety systems and is a joint venture that was established in 1997 between TRW's predecessor and a subsidiary of Shanghai Automotive Industry Co., Ltd. (SAIC). STASS will relocate from its current location in Shanghai city to a new, larger purpose-built 10,000 square meter facility in Anting. The partners have increased the total investment for this joint venture due to the increase in seatbelt volumes and the introduction of the manufacture of airbag and steering wheel products.
John Jones, vice president operations, Asia Pacific, TRW Automotive, said: "We are proud to announce the expansion of our STASS and TACS facilities in Anting to support our Asia-Pacific customers. Increasing our presence in the region will allow us to serve international and local vehicle manufacturers in China and Asia-Pacific. By locating in China, we are able to develop an efficient and well-developed supply base as well as benefit from cost advantages -- essential to maintain and build on our competitiveness.
"We will continue to develop our operations in China in support of market growth and are committed to supporting our local customers with product and engineering excellence."
The expansion of these two plants follows the opening of a new Technical Center in Shanghai in January this year. The Technical Center was created to provide engineering support to current and future joint ventures and TRW manufacturing facilities as well as support global sourcing for regional supplier development.
About TRW
With 2004 sales of $12.0 billion, TRW Automotive ranks among the world's top 10 automotive suppliers. Headquartered in Livonia, Michigan, USA, the Company, through its subsidiaries, employs approximately 60,000 people in 24 countries. TRW Automotive products include integrated vehicle control and driver assist systems, braking systems, steering systems, suspension systems, occupant safety systems (seat belts and airbags), electronics, engine components, fastening systems and aftermarket replacement parts and services. All references to "TRW Automotive", "TRW" or the "Company" in this press release refer to TRW Automotive Holdings Corp. and its subsidiaries, unless otherwise indicated. TRW Automotive news is available on the internet at http://www.trwauto.com/ .
TRW established its first Joint Venture in China in 1994, and today operates 9 legal entities employing over 3,300 employees across Asia-Pacific. TRW's Asia-Pacific regional headquarters are located in Shanghai.
Forward-Looking Statements
This release contains statements that are not statements of historical fact, but instead are forward-looking statements. All forward-looking statements involve risks and uncertainties. Our actual results could differ materially from those contained in forward-looking statements made in this release. Such risks, uncertainties and other important factors which could cause our actual results to differ materially from those contained in our forward-looking statements are set forth in our Report on Form 10-K for the fiscal year ended December 31, 2004 (the "10K"), and include: risks associated with operating in the Asia-Pacific region; escalating pricing pressures from our customers; severe inflationary pressures impacting the ferrous metals market; our substantial leverage; interest rate risk arising from our variable rate indebtedness; the highly competitive automotive parts industry and its cyclicality; non-performance by, or insolvency of, our suppliers; product liability and warranty and recall claims; our dependence on our largest customers; loss of market share by domestic vehicle manufacturers; limitations on flexibility in operating our business contained in our debt agreements; fluctuations in foreign exchange rates; the possibility that our owners' interests will conflict with ours; work stoppages or other labor issues and other risks and uncertainties set forth under "Risk Factors" in the 10-K and in our other SEC filings. We do not intend or assume any obligation to update any of these forward-looking statements.
Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/20010824/TRWLOGOAP Archive: http://photoarchive.ap.org/
PRN Photo Desk, photodesk@prnewswire.com