Fawer Automotive Parts Limited Company - FY2009 - MarkLines Automotive Industry Portal

Fawer Automotive Parts Limited Company - FY2009

Business Highlights

Transfer of Equity Shares

-On September 16, 2009, Ningbo Huaxiang Electric Co., Ltd. transferred stock it owned in the company to other companies as follows: 22% went to Tianyi Investment Co., Ltd.; 5% went to Jinshi Investment Co., Ltd.; and 2% to Yadong Investment Co., Ltd. After transferring its shares, Ningbo Huaxiang Electric Co., Ltd. held a 20% ownership in the Company. (From a press release on September 16, 2009)

New Joint Venture

-Changchun Faway Automobile Components; Changchun Yidong Clutch Co., Ltd.;the Company ; and the Technology Center of China FAW Group will establish a joint-venture company. The new entity will be capitalized at 10 million yuan, with Jilin University providing 50 percent or 5 million yuan and the other companies contributing 10 percent or 1 million yuan each. The joint-venture company will engage in the development, designing, testing, and inspection of auto parts; technical consultation; technical services, training; and automotive software development.(From a press release on August 5, 2009)

Divestiture

-Valeo has acquired 100% shares of its joint venture in China, Valeo Fawer Compressor (Changchun) Co., Ltd. Valeo previously held a 60% stake and Fawer 40%. This Chinese entity will thus be renamed Valeo Compressor (Changchun) Co., Ltd. (From a press release on November 2, 2009)

Relocation

-FAWER Visteon Climate Control System (Changchun) Co., Ltd (FVCC) has moved the Changchun Automotive Development Zone and expanded its manufacturing operation in Changchun, China. The new plant will produce heating, ventilation and air conditioning systems (HVAC) and mechanically assembled aluminum radiators, in addition to brazed aluminum radiators that FVCC currently produces. In 2009, FVCC established a technical collaboration with Japan Climate Systems (JCS), another Visteon joint venture, leading to the introduction of the HVAC product line. In addition, FVCC localized the design of radiators. The Changchun facility has the capacity to produce 1.2 million brazed radiators, 250,000 mechanical radiators and 240,000 HVAC systems annually. FVCC serves a range of automakers such as FAW-Volkswagen, FAW Car, FAW Jiefang, FAW Xiali, FAW Haima, Shanghai Volkswagen, Chang'an Ford, Chery, Geely, and Great Wall. (From a press release on June 22, 2010)

R&D

R&D Facilities

-The Company owns Fawer Automotive Parts Co., Ltd. Technology Center, an R&D center.

Investment Activities

New Production Facility Established

-The Company is investing 400 million to establish a new production facility, which is scheduled to be completed by September 2011, at the Chengdu Longquan Economy & Technology Development Zone. Changchun FAWAY Automobile Components Co., Ltd. is also setting up a new facility at the same development park, investing 180 million yuan. Changchun FAWAY's facility is scheduled to be completed by August 2011. These new plants will mainly manufacture automotive components for FAW-VW. (From a press release on August 28, 2009)