A little less than three years ago, U.S. auto parts maker Nexteer was close to liquidation, but its fate has been changed since 2010 after being acquired by a Chinese company.

Nexteer has now become more globally competitive and confident for the future, Nexteer CEO Robert Remenar told in a recent interview.

The purchase was made by Pacific Century Motors (PCM), a division of China's state-owned Aviation Industry Corporation, from General Motors (GM), when the U.S. auto industry was in hard times following the 2008 financial crisis.

 

According to a May 2011 joint report from the Asia Society's Center on U.S.-China Relations and the Kissinger Institute on China and the United States, Chinese businesses invested 5 billion U.S. dollars in 2010 and created at least 10,000 jobs in 35 U.S. states.

The fact that it was a Chinese company that ultimately purchased Nexteer for 450 million U.S. dollars might have surprised some in Saginaw, the small Michigan town housing Nexteer's global headquarters, but Remenar said a Chinese investor had actually been one of his original hopes for a buyer.

The United Auto Workers (UAW) union, which enjoyed a special provision in the Nexteer sale to veto any buyer they disapproved, served as a protection to that scenario and assured workers they would only approve a buyer that had Nexteer's best interests in mind.

As for Nexteer's experience under its new Chinese owner, Remenar said the sell had brought forth many benefits, including employment increase and a 10-percent rise in revenue, from 2 billion to 2.2 billion dollars.

Additionally, Nexteer's new customers come from a wide variety of countries, which Remenar believes is a result of recognition from clients that the new Chinese owner is committed to the company's long-term business, as well as an international strategy supporting each global region.

Nexteer already has four factories in China, where the company has a presence for over 20 years, and the company will continue its global expansion.

Please contact us in case of Copyright Infringement of the photo sourced from the internet, we will remove it within 24 hours.