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May 14, 2019 02:00 AM

Rochling sells interior door plant to focus on core business

Plastics News Europe
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    Kasai Kogyo Co., Ltd.
    From left: Soenke Gruetzmacher and Erwin Doll of Roechling Automotive with Kuniyuki Watanabe and Koji Hori of Kasai Kogyo.

    Röchling Automotive SE & Co. KG is selling its production plant in Wolfsburg-Hattorf, Germany, to Japanese automotive supplier Kasai Kogyo Co., Ltd. for an undisclosed amount.

    The move is part of the company's strategy to focus on its core business, which includes aerodynamics, propulsion and new mobility.

    “The plant in Wolfsburg-Hattorf produces interior door panels. This area has not been part of Röchling Automotive's core business for years,” explained Ina Breitsprecher, director corporate communication in a statement to Plastics News Europe.

    The company intends to invest the proceeds of the sale in new mobility, according to Erwin Doll, vice-chairman of the Röchling Group and responsible for the Automotive division.

    Built in 2001, the 13,000-square-meter plant employs 170 people.

    As part of the agreement, Kasai Kogyo is taking over the entire business operations and all employees.

    Röchling anticipates that there would be no job losses.

    “Both companies want the transaction to ensure the continuity and quality of the plant. Kasai Kogyo has already announced its intention to invest in the location and the existing business,” Röchling said in a statement.

    Founded in 1946 in Samukawa, Japan, Kasai Kogyo is a publicly listed manufacturer of automotive interior parts, including cabin trim products and luggage trim parts.

    The company's European headquarters is based in Washington, England.

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