ArvinMeritor, Quimmco to strengthen relations by restructuring joint venture

Dec. 1, 2002
ArvinMeritor Inc has announced that, effective January 2003, its long-standing joint venture with Quimmco SA CV of Monterrey, Mexico, will be restructured,

ArvinMeritor Inc has announced that, effective January 2003, its long-standing joint venture with Quimmco SA CV of Monterrey, Mexico, will be restructured, resulting in an increase in the level of participation that the global component and systems supplier maintains with the joint venture, Dirona SA, which is located in Monterrey, Mexico. The joint venture will be renamed Sistemas Automotrices de Mexico and will be mutually managed by ArvinMeritor and Quimmco.

The restructured joint venture will establish a 50/50 partnership focused on manufacturing and supplying a combined offering of Dirona Sudisa and Meritor brands of products (axles, air brakes, and drivelines) for medium- and heavy-duty commercial trucks and trailers to vehicle manufacturers' facilities in Mexico through ArvinMeritor. Additionally, the restructured joint venture will play an expanded role supplying ArvinMeritor and its customers globally.

Dirona was founded in June 1975 as a joint venture between Dina, Rockwell Automotive (now ArvinMeritor), and Nacional Financiera as a supplier of rear and front axles, brakes, and other related commercial vehicle components. Sudisa, now owned by Dirona, was a manufacturer and distributor of trailer axles to original equipment manufacturers.

ArvinMeritor will assume primary engineering, marketing, and sales leadership in the Mexican market for the OE and aftermarket channels.

The current general manager, Armando Mirandez, will continue to lead the joint venture. The new board of directors will include Tom Gosnell, ArvinMeritor senior vice-president and president of its Commercial Vehicle Systems business group; Brad Arnold, vice-president and general manager, Commercial Vehicle Systems Axles; Rob Guy, vice-president — finance; and Rakesh Sachdev, vice-president and general manager, Worldwide Braking Systems.