Delphi Automotive Systems Signs Fifth Technology Transfer License Contract in Shanghai

30 July 1997
Delphi Automotive Systems Signs Fifth Technology Transfer License Contract in Shanghai

    SHANGHAI, China, July 30 -- Delphi Automotive Systems
recently announced that it had signed a technology transfer license contract
with Shanghai Automotive Brake Corporation (SABC), for the manufacture of key
parts of the brake system.
    The license contract is for a period of eight years and will allow the
supply of locally manufactured, Delphi-designed vacuum boosters, master
cylinders and brake hoses, to the local automotive industry.  This agreement
will localize the brake system content in locally produced automobiles, and
have the benefit of providing a brake system of consistently high quality from
a single manufacturer.
    Under the contract, Delphi's Chassis Systems Division will provide SABC
with full technical support and access to the full range of brake systems
technology.  A comprehensive technical assistance program, covering all
aspects of the production process, from machine shop set-up to full production
line management, will also be initiated.  In addition, Delphi will conduct in-
depth training throughout the license contract period.
    "This is Delphi's fifth technology transfer agreement in China.  We are
committed to following our customers and providing the best solution to the
ever growing technological demands of the auto industry in China.  By signing
this agreement Delphi is providing a local Chinese manufacturer with world
class brake system technology, in a locally existing facility," said Dr.
Xiaozhi Liu, chief representative of Delphi's Shanghai operations.  "This
illustrates our pro-active support of the latest Chinese government's
automotive policy, which encourages localization of automotive component
manufacture, and the utilization of existing infrastructure."
    "The automobile industry in China is rapidly evolving with our customers
expecting world class quality products and advanced technology.  By sharing
our experience and knowledge through partnerships such as this technology
transfer agreement with SABC, we are not only fulfilling our customers
aspirations, but also helping the automobile industry in China grow.  We look
forward to a long and successful relationship with our new partner SABC," said
Mr. Robert Galbraith, director of business development for Delphi Chassis
Systems.
    Delphi currently has ten ventures and four other technology license
agreements in China, with a total investment in excess of US$250 million.
    Delphi Automotive Systems, with headquarters in Pontiac, Michigan, USA, is
the world's largest and most diversified supplier of automotive components and
systems.  Delphi operates 191 manufacturing facilities, 46 ventures and 17
technical centers in 36 countries.  Regional headquarters are located in
Paris, Tokyo and Sao Paulo.  Delphi can now be found on the Internet at
 http://www.delphiauto.com.

SOURCE  Delphi Automotive Systems