Hayes Lemmerz International has increased its stake in its Turkish aluminium wheel joint venture, Jantas Aluminyum Jant Sanayi ve Ticaret (aka Jantas Aluminium Wheels), with operations in Manisa, Turkey.
“Increasing our stake in this joint venture further improves our ability to meet customer needs in the very important Turkish and European markets as well as leveraging our already strong global position,” said the company’s international wheel head Fred Bentley.
Hayes Lemmerz and Inci Holding , one of the other two original joint venture partners in Jantas Aluminium Wheels, acquired the 35% interest in the joint venture previously held by Cromodora Wheels. As a result of the transactions, Hayes Lemmerz increased its interest from 40% to 60%, while Inci Holding increased its share from 25% to 40%.
“We are excited to build on the advantage of an already successful partnership with the Inci Group in Turkey who provide valuable local knowledge of the Middle East market and will provide additional efficiencies for our operation,” Bentley added.
The joint venture is expected to eventually produce 1.5 million wheels annually and will start production in early 2006.
Hayes Lemmerz has expanded operations in Mexico, Brazil, Czech Republic, and Thailand recently past. The operation in Turkey is the next step in building on the recent success of the low cost focus of operations.