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

Auto supplier receiving grant to help expansion

October 30, 2014 3:35 pm ET

Summit Polymers is receiving an $800,000 performance based grant to help with a $7.3 million expansion of three of its Michigan facilities.    More

Image

Ebola scare, ACA could drive health care growth

October 30, 2014 2:45 pm ET

Bill Wood's new forecast for medical supplies and equipment calls for an increase of 6.6 percent in the total output of these products in 2014, and...    More

Image

Magna opens new exterior facility, plans for lighting investment

October 30, 2014 1:36 pm ET

Canadian automotive supplier Magna International Inc. on Oct. 28 opened a new injection molding and robotic paint line facility in Delta Township,...    More

Image

PP prices rise, solid PS, PET drop

October 30, 2014 1:15 pm ET

North American polypropylene resin prices surged again in October, while regional prices for solid polystyrene and PET bottle resin continued their...    More

Image

Italian compounder opening first US plant

October 30, 2014 9:45 am ET

The song of the South has led Italian compounder So.F.Ter Group to open its first plant in the United States in Lebanon, Tenn.    More

Market Reports

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Plastics in Mexico - State of the Industry Report

This report analyzes the $20 million dollar plastics industry in Mexico including sales of machinery & equipment, resins and finished products.

Our analysts provide insight on business trends, foreign investment, top end markets and plastics processing activity. The report also provides important data on exports, production, employment and value of plastics products manufactured.

Learn more

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

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

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

October 27, 2015 - October 29, 2015Plastics Financial Summit - New York - 2015

More Events