Autoliv expands in Brazil – increases steering wheel capacity

Autoliv Inc. ALV announced earlier today that it is expanding steering wheel capacity at its location in Taubaté near Sao Paulo. The expansion will allow Autoliv, which already commands a leading market position in South America, to double its steering wheel molding and assembly capacity in the region to more than one million units as well as expand die-casting capabilities for steering wheel armatures. This capital investment is expected to cost around $9 million USD. This capacity increase positions Autoliv to take advantage of the expected 25% increase of light vehicle demand in Brazil over the next three years. In addition, a Brazilian law mandating 100% adoption of frontal airbags in light vehicles will be phased in through 2014. “We are excited about the opportunity to further improve our competitive position,” commented Steve Fredin, President Autoliv Americas. “Many customers prefer to source the steering wheel assembly with the driver airbag to the same tier one supplier, so we believe this expansion is an important enabler to capitalize on this tremendous growth,” added Fredin.