Valeo today announced the signing of a new joint venture with Hangshen Electronics, a Chinese automotive tier 1 supplier, for the production of ultrasonic products and switches.
The joint venture is 75% owned by Valeo and is located in Shenzhen. This joint venture, the Group’s tenth in the country.
Valeo says that the Chinese market for ultrasonic park sensors is anticipated to grow significantly and the joint venture, which combines Valeo’s technology leadership with Hangshen’s distribution and market access expertise, will become a market leader within two years.
“The Chinese market represents a key part of Valeo’s future growth. With the creation of this new joint venture, Valeo will be in a better position to serve both Chinese and global automakers,” said Thierry Morin, Valeo Chairman & CEO. “We are fully committed to the development of China’s automotive industry and will continue to work closely with all our Chinese partners by sharing our capabilities in research, development and manufacturing.”