Power management company Eaton (NYSE:ETN) and Shaanxi Fast Gear Co. Ltd. (SFGW) today announced they have signed a joint venture agreement to support the growing commercial vehicle clutch market in China. The formation of the joint venture is subject to regulatory approvals and customary closing conditions. Terms were not disclosed.
The planned joint venture will focus on developing, manufacturing, assembling, testing, selling and servicing clutches and associated clutch components for the commercial vehicle market in China.
“We are pleased to announce our joint venture with SFGW,” said Ken Davis, Eaton president, Vehicle Group. “The comprehensive product development and manufacturing capabilities in our joint venture will enhance Eaton’s full-service capability in China’s growing commercial vehicle market.”
SFGW, headquartered in Xi’an, China, will own a 51 percent interest in the new joint venture; Eaton will own a 49 percent interest.
