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Cooperating boosts development; With targeted engineering partnerships, suppliers can create both the potential to find new business and ways to cut costs.(Supplement)

Automotive News Europe,  October, 2006  by Bethscheider-Kieser, Ulrich

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Byline: Ulrich Bethscheider-Kieser

Auto manufacturers often cooperate or create joint ventures, but the practice is spreading to suppliers as well.

The cooperation can make sense to share the intense costs of developing new technologies or manufacturing processes, for example.

Among the suppliers pioneering joint ventures back in 1999 were lighting specialist Hella and radiator manufacturer Behr. Since the two German suppliers founded the 50-50 joint venture, it has been responsible for developing, manufacturing and selling complete front-end modules.

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