Visteon Group (China) Business Report FY ended Dec. 2013
-Yanfeng Visteon (Beijing) Automotive Trim Systems Co., Ltd. will supply instrument panels, roof panels, tail doors, floor pans and insulators to Beijing Hyundai for the DMC luxury SUV. The supply program is expected make a significant contribution to Yanfeng Visteon’s sales over the next five years. (From news releases issued by multiple sources on January 17, 2013)
-Dongfeng Visteon Automotive Trim Systems Co., Ltd. announced that the company and Kasai Kogyo Co., Ltd. of Japan will establish Dongfeng Kasai (Xiangyang) Automotive Trim Systems Co., Ltd. to design, develop, manufacture and sell automotive parts in China. The new company will be capitalized at CNY 77 million, of which 65 percent will be invested by Dongfeng Visteon Automotive and 35 percent will be provided by Kasai Kogyo. The total investment in the joint venture is expected to reach CNY 229 million. Dongfeng Visteon Automotive Trim Systems is a joint venture between Dongfeng Electronic Technology Co., Ltd. (DETC) and Yanfeng Visteon Automotive Trim Systems. When the plant becomes fully operational, it will be capable of producing products worth CNY 200 million per year. Plant construction will begin in November. Production will start after the first phase of the project is completed in the second half of 2014.(From an announcement by the Dongfeng Electronic Technology on October 29, 2013)
-Visteon has established Yanfeng Visteon (Ningbo) Automotive Trim Systems Co., Ltd. near Shanghai VW’s Ningbo Plant. The new facility will prepare to start mass production by February 2014 after completing trial production and conducting small-lot production in 2013. Its product line will include door trims and instrument panels for the Shanghai VW SK371, the VW373 and the Touran NF built in Ningbo. (From news releases issued by multiple sources on January 20, 2013)
-Visteon Group announced that it has entered into an agreement with Huayu Automotive Systems Co., Ltd. (HASCO) to sell its 50 percent stake in Chinese joint venture Yanfeng Visteon Automotive Trim Systems Co., Ltd. (YFV), as well as its direct interests in other related interiors joint ventures, to HASCO. Additionally, Visteon and HASCO agreed to modify their existing electronics ventures in China such that Visteon will obtain control of the majority of Yanfeng Visteon Automotive Electronics Co., Ltd. (YFVE). The transactions are expected to be completed by June 2015. Visteon will receive cash payments of approximately USD 1.25 billion for the sale of its interests in YFV and other related interiors joint ventures, and will pay approximately USD 70 million to gain control of the majority of YFVE. The Company announced that it acquired a remaining 50 percent share in Yanfeng Visteon Automotive Trim Systems Co., Ltd. at the end of December 2013. As a result, HUAYU Automotive Systems has turned the joint venture with Visteon into its wholly owned subsidiary, and changed the subsidiary’s name to Yanfeng Automotive Trim Systems Co., Ltd. (From a press release on January 7, 2014)
-Halla Climate announced that it would acquire the automotive climate control business of the Visteon Group, its parent company. Halla Climate will invest a total of 439.1 billion won to purchase 18 companies engaged in vehicle air conditioning business, which will make it the second largest company in the global industry. The eighteen companies and the percentage to be transferred are as follows:Visteon Climate Control System (Chongqing) Co., Ltd.（Production company in China, 100.00%）; Visteon Climate Control (Nanchang) Co., Ltd.（Production company in China, 80.85%）; FAWER Visteon Climate Control System (Changchun) Company Limited（Production company in China, 50.00%）; Halla Climate Control (Dalian) Co., Ltd.（Production company in China, 24.90%）; Japan Climate Systems Corporation（Production company in Japan, 33.33%）; Visteon Japan Climate Ltd.（R&D center in Japan, 100.00%）; Visteon Climate Systems India Ltd. (Production company in India, 61.00%); etc. (Sales company in the Netherlands, 100.00%). (From a press release, January 11, 2013)
Pass the Review-Yanfeng Visteon Chongqing Xugang Electronics Co., Ltd., a subsidiary of Visteon Group (China), was awarded the Ford Q1 certification. The award acknowledges suppliers for their production and delivery quality. Ford intends to promote collaboration between Ford and a supplier in quality control of products. With the certification, the company has officially become one of the global suppliers of Ford. (From press releases on December 2,2013)
-Yanfeng Visteon Chongqing Xugang Electronics, a subsidiary of Visteon, was awarded both the Excellent Quality Award and the Strategic Supplier Award from Changan Mazda in December 2013. (From a press release on January 15, 2014)
|Visteon China Technical Center(CTC)
|- The company integrates the group's engineering activities that focus on automotive interior and electronic parts in the Asia Pacific region. CTC will also focus on developing various products, some to be marketed globally and others to specific countries.
|- Visteon and Halla Climate Control (HCC) established a new facility in Shanghai to measure and test various air conditioner parts. The testing center is equipped with various measuring systems including an airflow meter, a noise and vibration measuring room for HVAC systems and cooling systems, and measuring devices for evaporators and heaters.
Investment in China
-Yanfeng Visteon Automotive Trim Systems announced that its new plant in Ningbo started operating on October 22, 2013. The new facility locates in Hangzhouwan New area, Ningbo city, Zhejiang province. There are three subsidiaries of Yanfeng Visteon, namely, Yanfeng Visteon Automotive Trim Systems (Ningbo) Co., Ltd., Yanfeng Plastic Omnium Automotive Exterior Systems Co., Ltd. Ningbo Branch and Ningbo Yanfeng Johnson Controls Seating Co., Ltd.They will supply to Shanghai VW. (From news releases issued by multiple sources on November 4, 2013)
-Yanfeng Visteon Jinqiao Automotive Trim Systems, which is a subsidiary of Yanfeng Visteon Automotive Trim Systems Co., Ltd., will establish Yanfeng Visteon Wuhan Automotive Trim Systems Co., Ltd. The new facility will be constructed on a 66,600-square-meter-site adjacent to the Wuhan Plant of Shanghai GM. The construction project will be carried out in two phases, and an interior trim plant will be completed in the first phase. It will be finished in June 2014 and expected to begin operations in January 2015. The plant will have the capacity to produce 300,000 sets of instrument panels, door panels, and CNSLs per year. (From press releases issued by multiple sources on September 24, 2013)
-Yanfeng Plastic Omnium Automotive Exterior Systems Co., Ltd., which is a joint venture of the Visteon Group (China), will establish a new plant on a 37,600-square-meter site in Yantai, Shandong Province. The company is investing 210 million yuan in the first phase of the construction project, planning to start production operations in September 2014. The plant will have the capacity to produce 420,000 exterior systems a year. Once it reaches full-scale operation, it will be able to produce products worth 320 million yuan a year. (From a press release, July 1, 2013)