Nov 1 2004
Sumitomo Metal Industries, Ltd. ("SMI"), Sumitomo Corporation ("SC") and ThyssenKrupp Automotive ("TKA"), have agreed that TKA will participate in Huizhou Sumikin Forging Co., Ltd. ("HSFC"), a joint venture company set up by SMI and SC in Huizhou, Guangzhou, China which engages in manufacturing and selling forged crankshafts.
HSFC was established by SMI and SC in July 2003 and TKA will hold 34% of equity interest in HSFC. SMI, SC and TKA will jointly operate and manage the business of HSFC.
Automotive industry is rapidly growing in China, in which the sharp increase of demand for forged crankshafts is expected. Through the participation by TKA in HSFC, SMI, SC and TKA will be able to meet the demand of globalized automotive industry. Further, it is believed that HSFC will obtain enhanced competitiveness and establish a two-lined operation at an early stage, through taking in new business opportunities with European automotive manufacturers.
HSFC is now undertaking trial run in preparation for the commercial operation commencing in November 2004. The opening ceremony is scheduled to be held on November 8, 2004.
For more information on forging, click here.