ABC Group grows in Mexico, Tennessee

By Kerri Jansen
Staff Reporter

Published: April 25, 2014 1:00 pm ET
Updated: April 25, 2014 1:03 pm ET

Related to this story

Topics Automotive, Mergers & Acquisitions, United States, Mexico

ABC Group Inc. is refocusing its growth efforts in Mexico and Tennessee following the sale of its fuel systems business.

State Development Investment Corp. of Beijing, a major investor in Yapp Automotive Parts Co. Ltd., announced it purchased 100 percent of ABC Group Fuel Systems Inc. and its Gallatin, Tenn., plant for an undisclosed amount.

SDIC’s purchase came through its Rongshi International Holding Co. Ltd.

Yapp is the biggest plastic fuel tank maker in China, holding 50 percent of the market share, according to SDIC’s website. Yapp and ABC formed a strategic alliance in 2010 to marry Yapp’s strength in China with ABC’s North American presence; the sale was the next logical step, said Mary Anne Bueschkens, who sits on the board of Toronto-based ABC.

“We had been global alliance partners, but eventually we needed to make something more meaningful, I think, for the customers. The customers were looking for something more connected,” Bueschkens said.

The sale will allow the company to build on its six major business units globally, she added.

“[Yapp is] going to have an incredible global powerhouse in fuel now, so we’re really happy for them. But for us as well, I think it helps us to focus on being global in our other six business units, and we can actually really start focusing on growth more in those areas,” she told Plastics News.

ABC recently opened its fourth facility in Mexico, to handle increasing business from OEMs including Chevrolet and Mazda. Located in Querétaro, the plant currently employs 35 and will grow to about 120 employees over the next eight months, Bueschkens said.

ABC is also breaking ground on a new facility to be built in Gallatin, the location of its former fuel systems business. The 185,000-square-foot facility is being built to handle the company’s growing business in interior consoles and is expected to be completed in January 2015.


Comments

ABC Group grows in Mexico, Tennessee

By Kerri Jansen
Staff Reporter

Published: April 25, 2014 1:00 pm ET
Updated: April 25, 2014 1:03 pm ET

Post Your Comments


Back to story


More stories

Image

Contigo, Avex buy lets Newell Rubbermaid leapfrog new bottle development

July 22, 2014 4:11 pm ET

Newell Rubbermaid Inc. is ready to accelerate its move into the reusable water bottle business with the purchase of two on-the-go drinkware brands.    More

Image

Munson Machinery expanding assembly, testing operations

July 22, 2014 2:02 pm ET

Munson Machinery Co. Inc. is expanding its headquarters factory by about one-third in Utica, N.Y., where the company makes mixing, blending and size-...    More

Image

Evolving with the times helps Ohio's Midwest Elastomers prosper

July 22, 2014 12:53 pm ET

Midwest Elastomers Inc. is 35 years old this year, and if the company hadn't abandoned its roots and evolved, it long ago could have gone the way of...    More

Image

DSM planning North American nylon plant

July 22, 2014 11:41 am ET

Materials firm Royal DSM NV plans to build a new nylon resin plant in North America, but no decision has been made on the plant's exact location.    More

Image

Illinois injection molder expands

July 21, 2014 1:23 pm ET

Automotive supplier All-Rite Industries Inc. has added two new injection molding machines to its operations.    More

Market Reports

Injection Molders Market Report & Ranking 2014

This special package contains our 132-page 2014 Market Report on the Injection Molding segment and our exclusive 2014 RANKINGS database of 500+ Injection Molders for a discounted package price.

Learn more

Plastics Recycling Market Review & Outlook 2014

This special report from Plastics News examines the North American plastics recycling industry and provides insight into indicators that impact market viability, including Resin pricing trends for virgin and recycled market material and historical Resin production trends for post- consumer and industrial waste.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events