Magneti Marelli will double the production of transmission
Valor Econômico
Magneti Marelli, auto parts maker controlled by the Italian Fiat, plans to double production of automated transmission in Brazil until 2012, due to the natural increase in demand for this type of component, which differs from the automatic transmission by the possibility of application in any type of mechanic transmission, and due to supply agreements with new makers. It also aims at increaing from the current 60% to 80% also next year, the index of nationalization of transmission produced at the factory in Hortolandia, in São Paulo.
Nowadays, the Free Choice technology, developed in the country by Magneti Marelli, is used throughout the Dualogic Fiat line and the in series I-Motion of Volkswagen. However, there are already "advanced" talks with other automakers to supply the system. "We are working to provide state-of-the-art technology at competitive prices, as the automated transmission has a cost 50% lower than the automatic", says the chairman of the group for Mercosur, Virgilio Cerutti. In addition to offering lower cost, says the executive, the automated transmission allows the driver to choose between to shift gears manually or automatically, as s/he needed, and eliminates the pedal. According to Cerutti, despite having been developed in the country, the technology already uses a high volume of imported components, because of the lack of local suppliers. To achieve the desired level of nationalization of 80%, the Italian company has been working on projects for development and industrialization of several items in the country. "In the medium and long term, it is much more strategic locate in Brazil these items production", explained the executive. "In the short term, the strong Real may not be favorable, but our focus goes beyond that."
The Free Choice, says Cerutti, began to be developed in the country in 2003, due to the profile of the Brazilian consumer. With investments of approximately R$ 30 million (US$ 17.7 million) until 2009, the factory of Hortolândia concentrated the production of these systems. Today the line runs close to the full capacity of 100 thousand units per year. In 2009, the production volume increased 140% over the previous year and, in 2010, the expectation is that the expansion rate is raised to 150%. Now, the goal of Magneti Marelli is to increase to 200 thousand units per year the production in Hortolândia, with investments that should turn around R$ 28 million (US$ 16.5 million).