Mar 29, 2021

Volkswagen/Brose develop joint manufacturing venture

JointVenture
Volkswagen
TheBroseGroup
SITECH
Georgia Wilson
2 min
SITECH , Volkswagen and the Brose Group
Volkswagen and Brose have entered into a joint venture to develop and manufacture vehicle interior structures and solutions...

Following an announcement made by Volkswagen, the company reports its latest joint venture alongside The Brose Group.

Details of the joint venture

In establishing the joint venture, The Brose Group and Volkswagen will develop and manufacture complete seats, seat structures, and components, as well as solutions for vehicle interiors. 

In addition, The Brose Group will acquire half of Volkswagen’s subsidiary - SITECH - with both companies holding a 50% share in the planned joint venture. Brose will take over industrial leadership and consolidate the joint venture for accounting purposes.

The mission

While it is still pending standard closing conditions and antitrust law approvals. The aom of the joint venture is to be global leaders in the vehicle seats market. The joint venture will begin by expanding its business with the Volkswagen Group, followed by capturing a significant share of business from OEMs that are not part of the Volkswagen Group. 

SITECH sales in the current fiscal year

SITECH anticipates sales of €1.4bn during the current fiscal year, from its workforce of more than 5,200. By 2030, the joint venture expects to double its business volume to €2.8bn, as well as its employees to expand to 7,000.

“Brose and SITECH are bundling their expertise in the new company and preparing for future developments in the market for vehicle seats and interior solutions. Current trends such as e-mobility, cross-system connectivity and autonomous driving are changing the requirements for tomorrow’s interiors. The vehicle interior is developing into a mobile living space that blends conventional demands on comfort and safety with new, flexible and personalized design options,” states Volkswagen. 

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May 11, 2021

Four Factory of the Future Market Trends to Keep an Eye on

AI
Automation
DigitalFactory
SmartManufacturing
Georgia Wilson
2 min
Factory of the Future | Smart Manufacturing | Technology | Digital Factory | Digital Transformation | Innovation
Manufacturing Global looks takes a look at the latest market trends in smart manufacturing, industrial automation, smart factory and AI...

Global Smart Manufacturing Market

Attributed to the rapid growth in the adoption of automated systems in industrial processes, the global smart manufacturing market is predicted to grow from US$$175bn (2020) to US$303bn by 2026 with a compound annual growth rate (CAGR) of 6.4% between 2019 and 2026.

While COVID-19 has somewhat slowed down the market’s growth, it is expected that by the second to third quarter of 2023 there will be a ‘considerable’ rise in growth for the market. 

Key players in the industry: Schneider Electric, General Electric, Siemens, Honeywell International Inc., Rockwell Automation Inc., FANUC Corporation, and Emerson Electric Co. 

Industrial Automation Market

Making people’s lives easier, and their work more accurate and effective, the global demand for automated technologies such as robotics - especially in science and technology - is driving its increase in global market value.

By 2027, the global industrial automation market is expected to reach US$326.14bn by 2027, with a CAGR of 8.9% between 2020 and 2027.

Key players in the industry: ABB, Siemens, General Electric, Schneider, Endress+Hauser, Yokogawa, Honeywell, WIKA, Azbil, Fuji Electric, 3D Systems, and HP.

Smart Factory Market

Expected to grow from US$80.1bn (2021) to US$134.9bn by 2026, the smart factory market - with a CAGR of 11% between 2021 and 2026 - is experiencing growth driven by fiscal policies adopted to keep manufacturing facilities afloat during COVID-19. 

Other driving factors include resource optimisation, cost reduction in production operations, increased demand for industrial robotics, rising demand for technologies, and the growing significance of energy efficiency. 

Key players in the industry: Emerson Electric Co., General Electric, Rockwell Automation, Inc., Schneider Electric SE, ABB Ltd., Siemens AG, Mitsubishi Electric Corp., Honeywell International Inc., Endress+Hauser AG, and Yokogawa Electric Corp.

Artificial Intelligence (AI) in Manufacturing Market

“It is undeniable that the manufacturing industry is at the forefront of artificial intelligence implementation,” says Analytics Insights. “Manufacturers are using AI-powered analytics to increase performance, product quality, and employee protection, from substantial reductions in unplanned downtime to better crafted goods.”

As manufacturers look to realise the potential benefits of artificial intelligence (AI) in their processes, it is predicted that the AI in manufacturing market will grow to US$11bn by 2025 with a CAGR of 54.6%.

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