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Minth and Tokai Kogyo form auto parts joint venture
 
 

HONG KONG (Jan. 20, 10:25 a.m. ET) -- Chinese auto parts maker Minth Group Ltd. is forming a $5 million (31.5 million yuan) joint venture with Japanese plastic and rubber products maker Tokai Kogyo Co. Ltd.

The joint venture, called Wuhan Tokai Minth Automotive Parts Co. Ltd., will make plastic and rubber automobile parts and help expand markets, taking advantage of Tokai’s global resources and strategic partners, according to a Hong Kong Stock Exchange filing from Minth.

Minth also said the joint venture will give it assurances about the supply and pricing of some automobile parts and technology support services it buys from Tokai. Minth, based in Ningbo, Zhejiang province, said the value of those sales and purchase agreements were 70.8 million yuan ($11.2 million) through the first eight months of 2011.

Each partner will own 50 percent of the joint venture.

Tokai, based in Tokyo, is 100 percent owned by Japan’s Asahi Glass Co. Ltd. It makes plastic, rubber, polyurethane and thermoset products, along with silica sand, agricultural chemicals and construction materials.

 
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