MUNICH -- Spanish parts supplier CIE Automotive has formed a joint venture with Russia's Avtokom.
The new company, CIE Avtokom, already has a combined 40 million euros (about $57.6 million) in orders from the Russian arms of Volkswagen AG, Ford Motor Co., General Motors Co., as well as domestic brands AvtoVAZ and GAZ. The goal is to boost the new company's revenues to 100 million euros within five years, CIE Automotive said in a statement.
Avtokom is a Tier 1 supplier of wiper systems, electric motors, cooling and ventilation systems and windows regulators. The joint venture initially will act as a Tier 2 supplier in Russia, producing some of the components for the above-mentioned systems.
CIE Automotive's objective is to become a supplier of plastic components for interior trim parts and assemblies. It also aims to machine components for steering and corner module assemblies; to offer welded assemblies and structures for seats and axles; to provide stamping for brake boosters and as well as structural and chassis components; and to cast aluminum engine and transmission parts.
CIE Avtokom will produce parts at plants in Samara and Kaluga, Russia.
CIE Automotive, which is based in Bilbao, ranks No. 75 on the Automotive News Europe list of the top 100 global suppliers, with sales to automakers of $2.14 billion in 2008.