Borgward, Faurecia Form China-Based Seating Venture

Stuttgart-based Borgward Group AG has formed a joint venture in Tianjin, China, with Faurecia SA to develop and produce seating systems for its new BX5 crossover and other upcoming models.

Faurecia will own 51% of the Borgward Faurecia Auto Systems Co. venture. Borgward and its Borgward Automotive China subsidiary will hold the remaining 46% and 3%, respectively.

The factory, which will be located near Borgward’s facility in Beijing, will employ about 800 workers. After starting with seats, the joint venture company eventually will supply entire cockpit modules to Borgward in China and Europe.

The BX5 is the first vehicle Borgward has produced in 54 years. The company, which is now owned by Beijing-based truck and bus-maker Beiqi Foto Motor Co., aims to achieve annual sales of 500,000 units by 2020.

In addition to Faurecia, Borgward also has alliances with several other suppliers. These include Bosch, Kuka and LG.