By Hannah Lutz, Crain News Service
DETROIT (Oct. 1, 2014) — Magneti Marelli Holding USA, the Italian parts supplier owned by Fiat Chrysler Automobiles, has opened its first exhaust systems plant in the U.S., the company said.
The plant, near the Chrysler U.S. headquarters north of Detroit, is more than 100,000 square feet in size and employs 75 people, the company said in a statement.
“With the addition of the exhaust plant, each of the company's business lines is now represented in North America, providing and expanding footprint to serve our customers here and around the world,” Magneti Marelli Holding USA CEO Stephane Vedie said in the statement on Sept. 29.
The exhaust system factory is Milan-based Magneti Marelli's fourth plant in the U.S. and seventh in North America.
“From a logistic point of view, [the new plant] is surely very close to one of the key destinations for our hot end products for exhaust systems,” Mr. Vedie said. “Our launch and ramp up have been much easier with the support from all of our staff there and our central functions [IT, HR, Purchasing, Legal, etc.].”
The exhaust production business has been present in Europe, South America, China and India, and the U.S. plant is an important addition, Magneti Marelli CEO Eugenio Razelli said in the statement.
The plant will manufacture hot end exhaust manifolds integrated with catalytic converters, the statement said. It will produce about 300,000 units per year.
Magneti Marelli dates back to its founding in Italy in 1919. Besides powertrain components, the company produces automotive lighting, electronic systems, spare parts, suspension systems and plastic components. The company ranks No. 28 on the Automotive News list of the top 100 global suppliers with worldwide sales to auto makers of $7.7 billion during its 2013 fiscal year.
This report appeared on the website of Automotive News, a Detroit-based sister publication of Tire Business.