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Affinia Continues Global Manufacturing Expansion

Enters Joint Venture Agreement for New Filtration Plant in China


News provided by

Affinia Group Inc.

Jun 01, 2010, 11:05 ET

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ANN ARBOR, Mich., June 1 /PRNewswire/ -- Affinia Group Inc., an innovative global leader in industrial grade products and services, has begun construction on a new filtration manufacturing facility in China to serve rapidly growing Asian markets. The new venture represents a significant expansion of Affinia's existing business partnership with Mr. Zhang Haibo that includes Haimeng, one of the world's largest drum and rotor manufacturers.

(Logo:  http://www.newscom.com/cgi-bin/prnh/20090326/AFFINIALOGO )

"Just as our joint venture for Haimeng in 2008 greatly enhanced our ability to provide high quality brake system components to Asian markets, this latest venture will have the same result for our filtration offerings," said Terry McCormack, President and CEO of Affinia. "Our two companies have a long and successful track record of working together for the benefit of our customers, which provides a solid foundation for additional growth."

Affinia and Mr. Zhang entered into an 85% Affinia owned joint venture agreement in 2008 through which Haimeng provides drum and rotor components for Affinia customers worldwide. The new filtration center will be 85% owned by Affinia and will be located near Haimeng's existing 1-million-square-foot manufacturing facilities in Longkou City, Shandong, China. Its primary focus will be on service to Asian markets, which are experiencing rapid growth in consumer vehicle ownership. Total vehicle sales in China during the past year surpassed those of the U.S. for the first time.  The new facility will manufacture products for light and heavy duty vehicles.

"Automotive and heavy equipment markets are continuing to grow steadily throughout Asia, leading to increased demand for high quality filtration products and services," said Zhang Haibo, President of Haimeng. "Affinia's technical expertise, combined with our own research and development resources and manufacturing talents, will result in a world class filtration facility."  

The new 220,000-square-foot filtration facility is scheduled to be completed during 2010, with operations beginning in the first quarter of 2011. Total employment is projected at approximately 350.

About Affinia

Affinia Group Inc. is an innovative global leader in the design, manufacture, distribution and marketing of industrial grade products and services, including extensive offerings of aftermarket parts for automotive and heavy-duty vehicles. With approximately $1.8 billion in annual revenue, Affinia has operations in North and South America, Europe, Asia and India. For more information, visit www.affiniagroup.com.

SOURCE Affinia Group Inc.

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