Delphi and STEC Create Joint Venture to Manufacture Door Components in China
15 December 1999
Delphi and STEC Create Joint Venture to Manufacture Door Components in China
SHANGHAI, China, Dec. 15 -- Delphi Automotive Systems
and Shanghai SIIC Transportation Electric Co. Ltd. (STEC), a
subsidiary of Shanghai Automotive Industry Corp. (SAIC), jointly announced
here today that they have formed a joint venture for the manufacture of
vehicle door hardware in China. Delphi has majority ownership in the new
joint venture company, which is named Shanghai Delphi Automotive Door Latch
and Security Systems Company Ltd. Inc.
"This venture marks a first entry for Delphi Interior Systems in China,
adding to Delphi's significant presence in the Chinese market and our ability
to support China's domestic auto market," said Rodney O'Neal, vice president
of Delphi Automotive Systems and president of Delphi Interior Systems.
"As the product of two leading companies in the world and Chinese markets,
this joint venture will help improve the technology of our products and
eventually close the gap between the Chinese automotive component industry and
the world," said Zhou Peilan, general manager of Shanghai SIIC Transportation
Electric Co., Ltd.
STEC is a Sino-foreign joint venture between SAIC and Shanghai Industrial
Investment Company. STEC is the primary door latch actuator and rear
compartment actuator supplier to Shanghai Volkswagen, China's largest sedan
manufacturer. STEC manufactures a range of automotive products, including
various electric motor products and electronic products. STEC's manufacturing
facility is ISO-9001 certified.
The joint venture officially began its operations earlier this month, by
imbedding STEC's existing door latch actuator business with Shanghai
Volkswagen and door latch business with other Chinese domestic automotive
manufacturers. The venture utilizes portions of STEC's existing manufacturing
facility. Future expansion of the venture will include supplying the Chinese
domestic automotive industry with Delphi's Mini-Wedge(TM), the world's most
advanced door latch system.
Shanghai Delphi Automotive Door Latch and Security Systems Company Ltd.
Inc. is the first venture involving Delphi and SAIC, China's largest
automotive company and partner to both Volkswagen and General Motors in
Shanghai. Major customers for the venture include Shanghai Volkswagen and
Shanghai General Motors, as well as several other Chinese vehicle
manufacturers.
In China, Delphi has three representative offices and operates fourteen
joint- and wholly owned ventures, seven technology license agreements, a
technical center, and the Delphi-Tsinghua Automotive Institute (DTI) training
center. Delphi provides a wide range of products to almost all of China's
major automakers.
Delphi Automotive Systems, with headquarters in Troy, Mich., USA, is a
world leader in automotive component and systems technology and the leader in
automotive interiors. Delphi is also a world leader in automotive door and
latching products with global operations. Delphi's three business sectors --
Dynamics & Propulsion; Safety, Thermal & Electrical Architecture; and
Electronics & Mobile Communications -- provide comprehensive product solutions
to complex customer needs. Delphi has approximately 201,000 employees and
operates 168 wholly owned manufacturing sites, 38 joint ventures, 51 customer
centers and sales offices, and 28 technical centers in 37 countries. Regional
headquarters are located in Paris, Tokyo and Sao Paulo. Delphi can be found
on the Internet at http://www.delphiauto.com