Latest China JV puts Behr in the driving seat
(chinadaily.com.cn)
Updated: 2004-06-11 13:47

Automotive air conditioning and engine cooling company announces third China JV in eight months

Behr GmbH & Co KG, one of the world's leading manufacturers and suppliers of automotive air conditioning and engine cooling equipment, has finalised its third joint venture in eight months, putting the company firmly in the driving seat of China's rapidly growing automotive sector.

The latest joint venture, Dongfeng Behr Thermal Systems Co Ltd (DBTS), is a 50:50 partnership with Dongfeng Motor Co Ltd, China's largest truck manufacturer. Scheduled to come on stream in July, DBTS is headquartered in Wuhan and will produce copper/brass and aluminium radiators for small, medium and heavy trucks. The product range will be rounded off with engine cooling modules and HVAC systems for passenger cars and trucks. Further potential customers include the Japan and French OEMs that belong to the Dongfeng Group.

Behr announced its first joint venture in October 2003. Called Shanghai Behr Thermal Systems Co Ltd (SBTS), it is a 50:50 partnership with Shanghai Automotive Co Ltd and specialises in the development, manufacture and marketing of automotive air conditioning and engine cooling products. SBTS started operations in January.

In February, Behr further reinforced its commitment to the China market with the conclusion of a joint venture with Shanghai Automotive Air Conditioning Co Ltd (SSB) and focuses on the development, production and marketing of refrigerant compressors for car and truck HVAC systems.

"Working with our joint venture partners, we are delivering on our strategy to be No 1 in China within five years," said Michael Foerster, group vice president at Behr GmbH & Co KG Shanghai. "As a pioneer in the field of vehicle air conditioning, Behr is synonymous with unsurpassed climatic comfort in passenger cars and trucks. Our three China JVs will enable us to manufacture and distribute our entire product portfolio in the world's fastest growing auto market.

"We made a strategic decision to put our Asia Pacific headquarters in Shanghai, reflecting the importance we place on mainland China in the region. Our JVs, which include plants in Wuhan and Shanghai, have the capacity to expand, and our future investment plans include an R&D facility and state-of-the-art wind tunnel."

Behr's products can be found in the world's most famous and prestigious automotive brands including the Audi A8, BMW7 series, Chrysler LX, Dodge Durango, GM and VW Golf. Among the world's most luxurious cars, Maybach and Rolls Royce uses only Behr HVAC modules.