Issue: Apr 2004


Supply and Demand



by AI Staff

North America

Honda to Add Accord Production in Ohio

Honda is adding production of its Accord Sedan to its East Liberty Auto Plant. The midsize Accord will be built on the same assembly line that produces the compact Honda Civic and the Honda Element light truck, beginning in early 2005.

Honda will continue to produce the Accord at the Marysville Auto Plant, where it is built with the Acura TL luxury sports sedan. Producing the Accord at both locations will increase the flexibility of each plant to deal with market changes, such as the current sales surge of the Acura TL.

Honda of America has three auto assembly lines, two in the Marysville Auto Plant and one at the East Liberty plant. In 2005, all three will be capable of producing the Accord, which will enhance the ability of the plants collectively to produce other models.

ArvinMeritor to Provide Large Roof- Opening System to European OEM

ArvinMeritor Inc.'s Light Vehicle Systems business group has been awarded a multiyear, $90 million contract to provide a largeopening, three-panel sunroof with a European OEM. Production begins in November 2006. The identity of the customer and terms of the contract were not disclosed.
 
Valeo's Lane Departure Warning System Debuts on Nissan Infiniti Vehicles
 
Valeo's Lane Departure Warning System employing Iteris' technology will make its market debut in North America on Nissan's Infiniti range. The system is scheduled for introduction on the 2005 model FX and 2006 M45.

The Lane Departure Warning System developed for Nissan consists of a miniature video sensor that uses proprietary software algorithms to continuously monitor the lane markings in front of the car. During unintentional lane departures, detected when the driver fails to use the direction indicators, the driver is alerted and then may take corrective action.





Europe

Dana Corp. to Supply Spicer Driveshafts for Iveco European Trucks

Dana Corp. has been selected to supply Spicer driveshaft assemblies to Iveco, a company in the Fiat Group, for all of the truck manufacturer's needs in Europe through 2007.

The four-year supply agreement provides that Dana will supply Spicer Compact Series driveshafts for Iveco's trucks built in its facilities in Italy, Spain and Germany.
 




Asia

Toyota and China FAW Establish Joint Venture to Build Engines

Toyota Motor Corp. and China FAW Group Corp. have established a joint venture to manufacture engines in Changchun City, Jilin Province, China. FAW Toyota Changchun Engine Co. Ltd. (FTCE) will have an annual production capacity of 130,000 engines and will commence production of 3.0L V-6 gasoline engines at the beginning of 2005.

After signing a joint agreement in August 2002, TMC and FAW have been steadily moving forward in their collaborative efforts regarding automotive operations in China. The two companies signed an agreement in April 2003 regarding the joint production of four vehicle models and technology transfer. So far, the Land Cruiser and Land Cruiser Prado SUVs and Corolla passenger car have already begun production.

FTCE will produce engines for the Crown luxury sedan, which is to be made at Tianjin FAW Toyota Motor Co. Ltd.

BorgWarner Morse TEC Marks Grand Opening of Morse TEC Korea

BorgWarner Morse TEC has opened a 34,250 sq.ft. plant in Pyongtaek, Gyeonggi Province, Korea. Morse TEC Korea was formed in 2002 in support of the company's growing business relationship with Hyundai Motor Co. Since then, the wholly owned subsidiary has planned for the manufacture and supply of engine timing systems for Hyundai's high-volume gasoline engine.

Morse TEC is a global leader in the design and manufacture of automotive chain systems and components for engine timing, automotive transmission and four-wheeldrive applications.

Mazda to Invest 13.9 Billion Yen in New Digital Technology

Mazda Motor Corp. has commenced the second stage of Mazda Digital Innovation, MDI-II. This stage's goal is to boost the engineering efficiency of Mazda's product development system, while creating an environment that allows engineers engaged in new product development to maximize their creativity and further strengthen their capabilities.

In order to support this initiative, Mazda will invest 13.9 billion yen during the next four years. This investment will be used to advance Mazda's virtual-testing capabilities, to purchase new super computers and provide for the development of associated software.

MDI-II is part of Mazda's ongoing work to develop competitive, exciting products for global consumers in line with Mazda's brand strategy and enhance the company's long-term capabilities in the areas of both product development and manufacturing.
 
ADVICS Establishes Manufacturing and Sales Company in China

ADVICS Co. Ltd. has established a new subsidiary, ADVICS Tianjin Automobile Parts Co. Ltd. in Tianjin, China. The new subsidiary will serve as the base for the manufacturing and sales of automotive brake systems and components in China. Operations will start in August 2004 and manufacturing output will begin in February 2005. The new plant set first year sales targets at 200 million yuan and total sales of 900 million yuan by 2010.

ADVICS Tianjin Automobile Parts Co. Ltd., with start-up capital of $12.08 million and a total investment of 150 million yuan, was established at the Beichen Economic and Technological Development Zone, Tianjin, China, on February 27, 2004.

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