Magneti Marelli eyes expansion in China

Magneti Marelli aims to expand its presence in China within the next three years, Eugenio Razelli, CEO of Magneti Marelli told China Automotive News recently.

Magneti Marelli, part of the Fiat group, had worldwide sales of $1.97 billion in 2006, but its China sales barely topped 100 million, accounting for less than 3 percent of its global sales. Marelli plans to increase its China sales to about 10 percent of its global sales by 2010.

Instrument clusters, power train and electronics operations will become Magneti Marelli’s three core businesses to spur growth in the near future. As China is giving more and more priorities to developing fuel efficiency and environmentally friendly vehicles, Magneti Marelli sales in China is expected to surge with its high quality products, Eugenio Razelli added.

Razelli has come to Shanghai attend an opening ceremony for its representative office in Shanghai. “Magneti Marelli intends to open more plants in China either in form of a joint venture or a wholly-owned business,” said Razelli.

Magneti Marelli has a total of 53 plants and around 25000 workers worldwide. It is ranked the 30th biggest auto parts suppliers in the world top 100 supplier’s list prepared by Automotive News.