Magna Exteriors and Interiors has formed a joint venture to purchase an existing injection moulding and painting facility located in Wuhu, a city in the Anhui province of southeastern China.
The three-party joint venture, called MCC Wuhu Exteriors, consists of Magna Exteriors and Interiors (51%), CAIP (Changshu Automotive Trim, 34%) and Chery Tech (15%).
The 300,000 sq ft manufacturing plant, which booked revenue of about US$43m in 2010, employs about 600 people and supplies its primary customer Chery Auto with front and rear fascias.
“Consistent with our strategy to pursue growth in emerging markets, this opens the door for our exteriors and fascia business in China,” said Bob Brownlee, president of Magna Exteriors and Interiors in North America and Asia.
“Having established a presence in China with our interior components and systems during the past several years, we now have a foundation from which we can begin a growth phase for our exteriors business in the region as well.”