MEDIA RELEASE PR37990
ArvinMeritor Invests $10 Million to Expand Its Global Off-Highway Manufacturing
Capabilities
BEIJING, Jan. 22 /PRNewswire-Asia-AsiaNet/ --
ArvinMeritor (NYSE: ARM) announced the investment of nearly $10 million in Xuzhou
Meritor Axles Limited (XMAL), a 60/40 joint venture partnership between ArvinMeritor
and XCMG, located in Xuzhou, China. This investment is expected to increase XMAL's
overall annual production capacity by more than 20% and upgrade the plant's
manufacturing technology to world-class standards.
"This investment reinforces ArvinMeritor's strategy to expand our
off-highway business globally as well as our strong long-term commitment to China and
the Asia Pacific region," said Tim Bowes, president of Industrial and Asia Pacific.
"Our investment in XMAL is the first phase of a long-term strategic development
plan that is expected to help us improve our off-highway manufacturing and product
capabilities in China, and support our efforts to grow this business in one of the
largest off-highway markets in the world," Bowes said.
The growth in China's off-highway market is primarily due to high demand for
construction machinery and the government's recent $586 billion USD stimulus package
in the country's infrastructure.
"Off-highway and Asia Pacific, particularly China, are two key areas of our
company's overall growth strategy for the future," said Bowes. "Therefore, it's our
plan to continue to invest in the off-highway business in China."
About XMAL
Xuzhou Meritor Axle Co., Ltd. (XMAL), located in Jiangsu province, is a joint
venture between ArvinMeritor and Xuzhou Construction Machinery Group (XCMG), the
largest off-highway vehicle manufacturer in China. XMAL has been in existence since
1996, and is the largest independent off-highway axle producer in China. ArvinMeritor
holds 60 percent equity share in the joint venture and XCMG holds 40 percent.
About ArvinMeritor
ArvinMeritor, Inc. is a premier global supplier of a broad range of integrated
systems, modules and components to original equipment manufacturers and the
aftermarket for the transportation and industrial sectors. The company serves
commercial truck, trailer and specialty original equipment manufacturers and certain
aftermarkets, and light vehicle manufacturers. ArvinMeritor marked its centennial
anniversary in 2009, celebrating a long history of 'forward thinking.' ArvinMeritor
common stock is traded on the New York Stock Exchange under the ticker symbol ARM.
SOURCE: ArvinMeritor, Inc.
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