German transmission maker Getrag plans to top last year's record sales of 3 billion euros because of its fast-growing business in Asia.
"We expect an increase of turnover to 3.2 billion euros," Getrag Chief Financial Officer Mike McMillan said in a release Tuesday.
Getrag, whose customers include Ford, Volvo, Jaguar and Land Rover, expects its output of manual transmissions to grow to more than 4.2 million in 2016 from 2.8 million units in 2011. Dual-clutch transmission volumes are forecasted to rise to more than 1.3 million in 2016 from 655,000 in 2011.
"These are only booked volumes," McMillan said. "We see further potential ahead."
The main driver for this growth is China. Getrag said that its Asia Pacific unit expects to deliver 1.7 million manual transmissions to customers in the region by 2016, up from 644,000 in 2011. Demand for dual-clutch transmissions is forecast to grow to 200,000 by 2016 from 10,000 in 2013. The surge in volumes will increase the company's Asia Pacific sales to nearly 1 billion euros in 2016 from 268 million euros last year, the company said.
Getrag set up a new headquarters in Shanghai last year so it could "serve and manage the region in a faster and better way," CEO Mihir Kotecha said in the release. The headquarters is used by application development engineers as well as sales and administration staff, the company said.
"[China] offers enormous growth potential and demands the products we are producing," Kotecha said.
The next market for Getrag will be India, where it will open a new factory to produce small manual transmissions for Ford. The plant will be in Sanand in the eastern Indian state of Gujarat, close to Ford's car assembly plant.
The company also announced that its joint venture with Ford, Getrag Ford Transmissions in Cologne, will have a new chief operating officer starting June 1. Kevin O'Neill will succeed Steven Armstrong, 47, who will return to Ford as president for Ford of Brazil. O'Neill, 54, is currently vice president of quality at Ford of Europe. He has been with Ford since 1980 and held various management positions in engineering and powertrain departments.