Automotive and defence group Rheinmetall will establish a joint venture (JV) for the production of aluminium cylinder blocks.
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Automotive division Kolbenschmidt Pierburg and German aluminium producer Trimet will set up KS ATAG Trimet Guss to manufacture engine blocks for an unnamed foreign automaker. The parties have notified the Federal Cartel Office about the establishment of the JV, and the antitrust watchdog should give its approval in the second half of August, Financial Times Deutschland reported, adding that the new company would operate in Harzgerode, Saxony-Anhalt, where Trimet already has a foundry.
The automotive division last year generated EUR2.06bn of the group’s EUR3.87bn revenue.
