American Axle & Manufacturing (AAM) has assumed full ownership of the AAM Sona Axle joint venture (AAM Sona Axle) in Pantnagar, India. AAM Sona Axle, previously a joint venture between AAM and Sona Koyo to manufacture and sell light truck, passenger car and SUV axle assemblies for India, is now an independent company wholly owned by AAM.
Sona Koyo will now focus on its core business operations and sell its 30% stake in the joint venture to AAM. The ownership transfer will not affect day-to-day operations at AAM Sona Axle.
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“AAM remains totally committed to India and our customers in this important global market. As a wholly owned entity, we now have greater flexibility to pursue a wide range of opportunities in India. I am counting on continued good relations with the Sona Group, whose local expertise has been very important to AAM as we have established our business in India,” said David Dauch, president and COO of AAM.
Sona Koyo is India’s largest manufacturer of steering systems with a market share over 45%. It supplies gears, steering columns and rack and pinion steering assemblies as well as electric power assisted steering to a majority of India’s passenger car and utility vehicle manufacturers.
