JAPAN: Denso forms Chinese ignition coil joint venture
Denso Corporation has established a joint venture with Hanshin Electric Co.to make vehicle ignition coils in China.
The new joint venture - Wuxi Denso Hanshin Automotive Products, Co., Ltd. - will be located in the city of Wuxi, Jiangsu province, China. The new company, with an initial capital investment of approximately $US20.6 million (2.1 billion yen), will begin commercial production in January 2007. It's Denso's 14th and Hanshin Electric's first production base in China.
The venture will produce two types of ignition coils: a stick coil with a cylindrical magnetic circuit, and a plug-top coil, which has a square magnetic circuit.
The stick coil has a magnetic circuit that fits into the plug-hole of an engine, increasing the available engine space. The plug-top coil has a magnetic circuit on its upper cover, means it can produce more power and allows greater flexibility in plug-hole size.