LIMEIRA, Brazil, Feb. 15, 2012 /PRNewswire/ -- TRW Automotive Holdings Corp. (NYSE: TRW) today announced the start of production of Electric Power Steering (EPS) from its facilities in Limeira, Brazil, in support of the company's expanding South American customer base. The company has invested in high-tech production equipment and manufacturing floor space in support of domestic customers.
"Electric Steering is a rapidly growing technology globally due to the many advantages it can provide," said Peter Lake, executive vice president for sales and business development at TRW. "Creating a regional production base for our South American customers will provide a cost effective source for these fuel-saving and emission reducing technologies as we expand the footprint of EPS for the production of global platforms and make it available to domestic customers."
Over the last 18 months TRW has installed equipment to produce the mechanical gear and column power head assembly. Additional investment is planned for electronic control units to fully localize Column Drive EPS manufacture for the region. Initial line capacity is expected to be in the range of 400,000 units annually with employment of an additional 170 people including engineering and other support personnel once full capacity is reached.
Moises Bucci, president of South America, TRW Automotive, said: "The expansion of electric steering into South America continues our efforts to bring all of TRW's highly sophisticated product offerings to Brazil and the wider South America region. As part of locating EPS here, we will build an efficient and well-developed supply base to deliver cost improvements – essential to competitiveness and customer service. And electric steering has been recognized for its ability to help contribute to the environmental improvement efforts here."
TRW offers two Electrically Powered Steering (EPS) solutions, to cover the full vehicle platform range, which consume power only when steering assist is needed. The first is the column drive unit which is mounted on the steering column and the second is belt drive where the assist power is applied directly to the rack with a belt drive and ball nut mechanism. Significant fuel economy and CO2 emissions benefits can be realized with both systems: compared with traditional hydraulic power steering. The technology can deliver a fuel savings of 0.3 to 0.4 L/100km, with a corresponding reduction in carbon dioxide emissions of approximately 7-8g/km.
With 2010 sales of $14.4 billion, TRW Automotive ranks among the world's leading automotive suppliers. Headquartered in Livonia, Michigan, USA, the Company, through its subsidiaries, operates in 26 countries and employs over 60,000 people worldwide. TRW Automotive products include integrated vehicle control and driver assist systems, braking systems, steering systems, suspension systems, occupant safety systems (seat belts and airbags), electronics, engine components, fastening systems and aftermarket replacement parts and services. All references to "TRW Automotive", "TRW" or the "Company" in this press release refer to TRW Automotive Holdings Corp. and its subsidiaries, unless otherwise indicated. TRW Automotive news is available on the internet at www.trw.com.
This release contains statements that are not statements of historical fact, but instead are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. We caution readers not to place undue reliance on these statements, which speak only as of the date hereof. All forward-looking statements are subject to numerous assumptions, risks and uncertainties which could cause our actual results to differ materially from those suggested by the forward-looking statements, including those set forth in our Report on Form 10-K for the fiscal year ended December 31, 2010 (our "Form 10-K"), and our reports on Form 10-Q for the fiscal quarters ended April 1, July 1 and September 30, 2011, such as: any developments related to antitrust investigations adversely affecting our results, cash flows, financial condition or reputation; tighter financial markets adversely impacting the availability and cost of credit negatively affecting our business; a material contraction in automotive sales and production adversely affecting our results or the viability of our supply base; commodity inflationary pressures adversely affecting our profitability or supply base; strengthening of the U.S. dollar and other foreign currency exchange rate fluctuations impacting our results; pricing pressures from our customers adversely affecting our profitability; any shortage of supplies causing a production disruption; increasing costs negatively impacting our profitability; the loss of any of our largest customers materially adversely affecting us; costs of product liability, warranty and recall claims and efforts by customers to adversely alter contract terms and conditions concerning warranty and recall participation; costs or liabilities relating to environmental, health and safety regulations adversely affecting our results; risks associated with non-U.S. operations, including economic and political uncertainty in some regions, adversely affecting our business, results or financial condition; any inability to protect our intellectual property rights adversely affecting our business or our competitive position; any increase in the expense of our pension and other postretirement benefits or the funding requirements of our pension plans reducing our profitability; work stoppages or other labor issues at our facilities or at the facilities of our customers or suppliers adversely affecting our operations; volatility in our annual effective tax rate resulting from a change in our valuation allowances position or other factors; and other risks and uncertainties set forth in our Form 10-K and in our other filings with the U.S. Securities and Exchange Commission. We do not undertake any obligation to release publicly any update or revision to any of the forward-looking statements.
SOURCE TRW Automotive Holdings Corp.