Noida, India — India's Minda Corp. Ltd. and China's Shandong Beiqi Hai Hua Automobile Parts Co. have formed a 50/50 joint venture to make plastic auto parts.
The venture, Minda China Plastic Solutions Ltd., will initially focus on plastic oil pans and cylinder heads, and other functional, underhood and interior components. Potential customers include global automakers with production plants in China, including Volkwagen, BMW and Daimler.
The venture also provides Noida-based Minda with production and marketing access to the China auto market, the companies said in a joint statement.
The companies said the venture will start production in the last quarter of 2017.
Shandong Beiqi Hai Hua is an automotive parts making subsidiary of Beijing Automotive Industry Holding Co. Ltd. (BAIC), a Beijing-based automaker.
The partners are investing US$12.5 million in the venture.
Minda has plastics manufacturing in Germany, the Czech Republic and Poland, and it is setting up a plant in Querétaro, Mexico. It employs around 14,000 and posted sales of $533 million in 2015.