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Nexteer Automotive forms EPS JV with Dongfeng

April 17, 2017 – Nexteer Automotive has signed an agreement to form a joint venture with Dongfeng Components, with a view to designing and manufacturing electric power steering (EPS) systems for Dongfeng Group and its affiliated companies.

"The formation of a joint venture between Nexteer and Dongfeng Components signifies an expanded relationship in which both companies will greatly benefit," said Tao Liu, senior vice president and global chief operating officer, Nexteer Automotive. "By providing our advanced steering technologies specifically tailored to the needs of our customers like Dongfeng, we continue to increase our presence in the growing Chinese market which is a core component of Nexteer's strategy for profitable growth."

Nexteer's business in the Asia-Pacific region now accounts for 24% of the company's total revenue, nearly doubling in the past three years. In 2016, Nexteer launched 21 new major customer programs in the region and has since been expanding manufacturing capabilities to meet demand. Nexteer currently provides EPS for several Dongfeng affiliated vehicles, including the Peugeot 2008 crossover. Pending regulatory approval, the joint venture will become a strategic in-house producer of passenger vehicle EPS within the Dongfeng Group.

After clearing regulatory approvals, the joint venture facility will be strategically located in close proximity to the Dongfeng Group headquarters in Wuhan, China.


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