Click here to read more
Hanon Systems, a global automotive supplier of thermal and energy management solutions, has entered into an agreement to establish a second joint venture with FAWER Automotive Parts Limited Co., one of China’s leading manufacturers of automotive components.
The new joint venture will operate under the name HFAC (Hanon FAWER Automotive Component) and will produce electric compressors, fluid transport components and exhaust gas recirculation modules and components from a manufacturing site in Changchun, in China. In terms of capital structure, Hanon Systems owns a majority stake of 55% and FAWER owns the remaining 45% based on capital of 155 million yuan (approximately US $ 24 million).
This agreement marks the second partnership between the two companies after the creation of FHTS (FAWER Hanon Thermal Systems) in 1995. As part of the new alliance within HFAC, the two parties agree to modify the current capital structure of 50: 50 in FHTS at a rate of 55%. owned by FAWER.
“China continues to be an important market for Hanon Systems in terms of growth to support automakers operating in the local market,” said In-Young Lee, president and CEO of Hanon Systems. “We are delighted to build on the positive relationship with FAWER to establish this new joint venture to strengthen our ability to serve our customers in China with innovative, efficient and environmentally friendly solutions. “
HFAC is one of several joint venture partnerships for Hanon Systems in China, focused on improving shareholder value and supporting the company’s growing global business as a leader in thermal and energy management solutions. automobile.