By replicating our entire Sherbrooke manufacturing operations, we have a footprint for transferring world-class TPV expertise anywhere on the globe.
Nizhny Novgorod, Russia (PRWEB) March 6, 2008
When the first Russian cousins of the Chrysler Sebring roll off the GAZ assembly line this summer, they'll be sporting the resurging automaker's first thermoplastic vulcanizate (TPV) weather seals.
Through an agreement with Canada-based Magna International, Jyco Sealing Technologies will provide TPV systems for all of the Russian-made vehicle's inner belt and sill seals. Gorky Automobile Factory (GAZ) recently purchased the tooling for the previous generation of the Sebring to manufacture the vehicle in Nizhny Novgorod, an industrial/technology center 400 kilometers (250 miles) east of Moscow. GAZ will market the vehicle under its own brand. Production estimates of 25,000 vehicles for year one are expected to ramp up to 65,000 vehicles by year three.
GAZ has seen a major turnaround since the old-line automaker (launched in the 1930s with a boost from Ford) slogged its way through the 1990s. In 2000, a $300-million majority share of the company was purchased by Basic Elements, the holding company of Russian billionaire Oleg Deripaska. The subsequent restructuring brought GAZ back to profitability and the number two slot among Russian automakers. Last year Basic Elements picked up a $1.54 billion stake in Magna to give its automotive operations global access to components, technology and expertise.
"GAZ engineering wasn't familiar with TPV," says Shawn Jyawook, Jyco's chief operating officer. "Once Magna Steyr (the Austria-based procurement subsidiary of Magna International) saw the cost advantages and the potential quality enhancements, they recommended the TPV transition to GAZ."
Jyco's JyFlex TPV compound produces lighter weight parts that won't chalk after years of exposure, which is a problem for EPDM. Initially the GAZ weatherseals will be manufactured at Jyco's plant in Sherbrooke, Quebec, but production might eventually shift to other plants in the company's global network.
"GAZ also appreciates Jyco's philosophy for expansion," added Jyawook. "By replicating our entire Sherbrooke manufacturing operations, we have a footprint for transferring world-class TPV expertise anywhere on the globe."
Since its founding in 2000, Jyco has established itself as a world leader in TPV design, engineering and process technology for automotive, heavy truck and RV weathersealing applications. The company has operations in Canada, China, Japan, Mexico and the United States. Jyco's global headquarters is in Dexter, MI.