Fifteen years into a positive fruit Chongqing Kafu married Knorr

The joint venture company will be established today and will mainly produce brake products for commercial vehicles. From the contact to the establishment of a joint venture company, the marriage between Chongqing Kafu and Germany's Knorr will eventually become a reality 15 years later. Yesterday, the reporter learned from the Shanghai Electromechanical Group that the group’s wholly-owned company, Chongqing Kafu Brake Steering System Co., Ltd. and the Knorr-Bremse Group’s Knorr Brake Systems Asia Pacific (Holdings) Co., Ltd., formed a joint venture. Today will be formally established. Having both advantages in technology and market, the joint venture company aims to become the most technologically and competitively competitive commercial vehicle component supplier in the Chinese market.

"Love" The end of the 15 years Knorr Group is the world's leading supplier of rail vehicle and commercial vehicle brake systems (global ranking first). It is reported that since the establishment of Knorr over 100 years, Knorr has gradually developed into a multinational enterprise group specializing in the development, design, production and processing of brake systems for trains and heavy vehicles. As early as the late 1970s, Knorr-Bremse established contacts with China. In the past 20 years, the Knorr Group has owned nine bases including joint ventures in China.

Founded in 1952, Chongqing Kafu Automotive Braking Steering System Co., Ltd. is one of the earliest manufacturers of auto parts in China. Over the past few decades, Chongqing Kafu has exerted a great influence on the development of the Chinese automobile and commercial vehicle industry. Chongqing Kafu has a long history with German auto parts technology. It is the introduction of German automotive brake technology design and manufacturing technology. The company has formed a complete spectrum of air brake components, further consolidating its position in the industry.

Chongqing Kafu and the Knorr Group hand in hand did not come overnight, but after a marathon negotiations. The contacts between the two sides began in 1995. After nearly 10 years of mutual understanding, in the second half of 2004, the two parties signed a joint venture "Letter of Intent", carried out a net value survey and assets assessment, and completed the draft of the "Joint Venture Contract" and the joint venture "Articles of Association." In March 2009, Knorr and Chongqing Kafu jointly entered into a joint venture negotiation, and in June 2010, the joint venture’s shareholding ratio was determined.

The track brake technology should also be introduced. It is understood that the newly established joint venture company, Knorkof Automotive Commercial Vehicle Brake System (Chongqing) Co., Ltd., has a registered capital of 14.609 million euros (approximately RMB 128 million yuan), Chongqing Card. Fuk and German Knorr Group hold 34% and 66% of the shares, respectively. Kafu will use the brake business as a capital contribution and transfer to the joint venture, while Knorr will contribute cash.

After the establishment of the joint venture company, it will mainly be engaged in the production of air supply (such as air dryer), brake control (such as air valve), transmission system products and clutch system products for medium and heavy commercial vehicles. At that time, the entire production process from die casting of aluminum alloys to machining and surface treatment to assembly will be completed in one place. In order to ensure quality standards, the joint venture company will adopt proven technologies and innovative production and logistics processes worldwide. The company’s product sales and marketing will be managed directly by the joint venture company. The initial number of employees will be approximately 600.

The joint venture company has leading advantages in terms of technology to market share in the domestic air brake industry. Apart from the commercial vehicle brake system, related auxiliary products will also develop rapidly. According to market predictions, in 2015, the joint venture will produce an annual output of various types of automotive valve parts to reach 6.0367 million pieces, and the market share will increase from the current 15% to 25%, and the operating income (excluding tax) will reach 560 million yuan. The total amount will reach 740 million. After a certain period of development, the Knorr-Bremse Group also considered introducing its global leading rail transit brake product technology to the joint venture company.

According to Chongqing Electromechanical Group, which is required for strong cooperation and cooperation, the commercial vehicle brake business currently accounts for 44% of Chongqing Cafu's total operating revenue, but its technical level still remains in the mid to late 1980s. In order to improve the technical level, Caluf has always expected to cooperate with industry leaders. The Knorr Group was chosen to be the world's leading technology for the world's most famous supplier of brake components for commercial vehicles. After the establishment of the joint venture company, Chongqing Kafu Company plans to introduce new brake product technology after upgrading, and will build the original die-casting unit as its Asia-Pacific casting base.

For the Knorr Group, the establishment of a joint venture company in Iowa is also significant. "Chongqing's joint venture will help us greatly increase our position in this fast-growing commercial vehicle market in China." Klaus Deller, executive director of Knorr Brake Holding, once told the media after the two parties had officially signed the contract. Through joint ventures, Knorr's local product range and processing depth will be greatly improved. Claus Beyer, CEO of Knorr Commercial Vehicle Brake Systems China, stated that the joint venture is an important cornerstone for Knorr Group’s ambitious goals in China.