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Fagor Ederlan and Infun seal an agreement for the implementation of a new plant in China

Apr 15, 2014

Fagor Ederlan, belonging to the MONDRAGON Corporation, and the Infun Group have signed a collaboration agreement to set up a new production plant in China. The new joint venture will go into operation this year and will specialise in the machining of metal components for the Automotive Industry. The agreement also includes the manufacture of cast iron components in the plant that the Infun group currently owns in Wuhu.
Fagor Ederlan and Infun seal an agreement for the implementation of a new plant in China

This partnership is the result of the strategy and commitment that both companies have made toward developing their international business. Conscious of the strength of the Asian market and its relevance as a hub for global projects in the automotive sector, this will allow full development of the iron product portfolio for both groups and strengthen the position of both companies in Europe.

The new machining plant will have a production capacity of two and a half million machined units in 5 years. The product portfolio of this Joint Venture will focus on iron components such as knuckles, discs, differential housings, flywheels, among others. In addition to this, the Joint Venture envisages the creation of a future smelting plant with a capacity of 35,000 tons as from 2017.

The new machining plant will have a production capacity of two and a half million machined units in 5 years.

Asia is no stranger to these two major manufacturers. Both companies have experience in the Asian market. Fagor Ederlan, benchmark company within the sector with 50 years of experience, has a global presence through 18 production plants set up either by itself or with partners in key countries for the sector such as Europe, Brazil, China, Korea and USA. Its last productive implementation took place in 2012 with Fagor Ederlan Autoparts Kunshan, located in Qiandeng. Specializing in the production of aluminium knuckles using low pressure technology, it offers the sector lightweight suspension solutions. The Kunshan factory is a replica of the existing 10 year old plant at the Mondragon parent company, and this has become a reference in the Chinese market for these type of parts with a capacity of 2 million components.

The Infun Group, with headquarters in Sant Vicenç dels Horts (Barcelona ) and more than 65 years’ experience, is a leader in the design, manufacture and machining of metal parts and components for the Automotive sector. With a broad product coverage, the Infun Group has an international presence through 5 production plants in Europe and China.

The agreement represents an investment of more than €30 million over five years and will create over 200 new jobs in the new implementation over the same period.

The Infun Group began its implementation into China in 1997. The last production facility it set up was in 2011 with Infun Cast (Wuhu ) Co. Ltd, Wuhu, located in the Anhui Province (China ). This is a green sand cast iron foundry with a current capacity of 40,000 Tm. This plant is geared 100% to the Asian market and specializes in the manufacture of automotive Powertrain components.

The agreement represents an investment of more than €30 million over five years and will create over 200 new jobs in the new implementation over the same period.

About Fagor Ederlan
The Fagor Ederlan Group is a leading provider in the Automotive sector, specialising in Chassis and Powertrain components, and offering the market comprehensive solutions in all product lines. The major vehicle manufacturers and Tier 1 suppliers are customers of Fagor Ederlan, enabling it to share, understand and accomplish the most important challenges within the market, providing a custom-made response to the demands of each customer and market area. Its unquestionable dedication to service has led to the group's international growth, making Fagor Ederlan a global supplier with more than 18 plants and partnerships in key regions of the sector such as Europe, Mercosur, Asia and Nafta. With over 3600 professionals, as a cooperative within Mondragon, its rationale and the driving force behind its activity is the generation of employment.

About Infun Group
Infun Group is a leading company in the design, manufacture and machining of metal parts and high responsibility components for the automotive industry. It has a very diversified product portfolio (for the engine, transmission, suspension, brakes and steering) which are manufactured in different ferrous materials and special alloys. The Group has a global presence, with a strong focus on export, and 5 production plants in Europe and China that incorporate state-of-the-art equipment and production processes. The productive capacity of the Infun Group exceeds 205,000 Tm/year, with an annual turnover of around €200 Million and a workforce of 768 people.


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