High cost of developing suppliers affects prices of China-made parts.(Brief article)

Automotive News Europe,  February, 2007  by Webb, Alysha

• E-mail
• Print
• Link

Byline: Alysha Webb

The high cost of developing Chinese suppliers can offset the advantage of China's lower costs, said Peter Holdmann of Germany's ZF Lemforder Fahrwerktechnik.

"You have to use a lot of effort to bring Chinese suppliers to international standards," said the company's chief operating officer for Asia-Pacific, Africa and South America. "It is always a calculation if it makes sense to look for a best-cost supplier in China and develop them."

ZF Lemforder, a division of ZF Friedrichshafen, produces chassis and steering parts, such as tie ...

Read the rest of this article with a Free Trial at HighBeam Research.