GKN Driveline Continues Expansion in China

BEIJING, 29 April 2008 – GKN Driveline plans to open a major new production facility in Wuhan, China, next year.

Haixiang Wang, business development director for GKN Group -- China, said the company will build a 144,000-square-foot plant scheduled to open during the first half of 2009.

Speaking at recent press briefings in Beijing, Wang said the Shanghai GKN (SDS) facility in Wuhan initially will supply driveshafts for Dongfeng and Dongfeng’s joint-venture programs with Honda and Citroen. Expected to provide more than 600 jobs, the plant will have an annual production capacity of more than 1,000,000 driveshafts.

The company also showcased technology from its 10 existing Chinese production facilities during the recent Beijing International Auto Show (April 20-28).

The first major European automotive supplier to invest in China, GKN is the country’s leading producer of driveline components. GKN Driveline currently has automotive manufacturing operations in Kangqiao, Zhoupu and Shenjiang in Pudong, Shanghai, as well as plants in Chongqing and Jilin.

The GKN executive added that the company is introducing "breakthrough" technology that provides lighter driveshaft components, improved fuel economy and better overall vehicle performance.

“Customers whose cars are equipped with our new technology will notice significant improvements in performance," said Wang.

GKN Driveline's next generation of driveshaft components will enable automakers to provide new-car buyers with products that are:

* Lighter by up to four pounds per vehicle set,
* More efficient with improved fuel economy and reduced CO2 emissions,
* Easier to park with turning-circle reductions of three feet or more and
* Quieter, due to reductions in driveline noise, vibration and harshness.

"Our new designs represent the first major change in constant-velocity-joint (CVJ) technology in more than 70 years," said Wang. "Teamwork played a major role in the development process. Engineering groups working together at company research centers around the world were able to develop production-ready components in less than three years."

He added that information about GKN Driveline’s global operations will soon be available on the Internet in Mandarin at gkndriveline.com. Currently available in English, German and Japanese, the company will add Mandarin in June, followed by Italian, French, Portuguese and Spanish during the next 12 months.

About GKN Driveline

GKN Driveline is the world leader in the design and production of driveline components. Producing systems and components for the smallest ultra low-cost vehicle to the most sophisticated four-wheel-drive model, GKN Driveline has the products to achieve the optimum driveline solution. With these products come technical expertise and an understanding of all aspects that affect vehicle dynamics and how these can be optimized for weight and performance improvement.

Every year, 63 million cars are produced for the world’s roads. For every car, in every country, the challenge is always the same: to transmit power from the engine to the wheels in the most efficient, economical and reliable way possible.

GKN Driveline designs, builds and supplies the most extensive and widely-used range of driveline components in the automotive industry. It covers every application from entry level front-wheel-drive vehicles to the most sophisticated four-wheel-drive vehicles.

As an engineering business with extensive automotive experience and a global resource network, GKN Driveline delivers solutions quickly, economically and efficiently, from drawing through to full-scale production.

The company is a true partner to the world automotive industry. Multi-talented, multilingual global account teams work closely with each and every customer to develop a clear understanding of their requirements and then deliver optimum solutions accurately engineered to all specifications.

GKN Driveline is a global tier-one supplier of vehicle driveline components and systems with annual sales of US$4 billion (RMB 28 billion). The company has 21,000 employees and 40 facilities in 30 countries.

Source: GKN Driveline

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