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Denso to expand US footprint with $1bn investment

ABR Staff Writer Published 09 October 2017

Japanese auto components supplier Denso is investing $1bn in its Maryville, Tennessee location in the US as part of its commitment to advancing automotive innovation in North America.

The investment will focus on vehicle electrification and safety technology. It is expected to create more than 1000 jobs in the state.

Through the investment, the company expects to grow significantly in the North American auto market and play an important role in vehicle safety and electrification.

The company plans to have new production lines to produce advanced safety, connectivity and electrification products for hybrid and electric vehicles.

The new products will significantly improve fuel efficiency and preserve electric power by recovering and recycling energy and also by connecting all systems and products in a vehicle.

Denso North America board of directors chairman and Denso International America CEO Kenichiro Ito said: “This is an investment in the future of Denso, and also the future of transportation. We are seeing dramatic shifts in the role of transportation in society, and this investment will help position us to meet those changing demands.”

The company said its products will create the highest efficiency for a whole vehicle by estimating the road environment through collaboration with information outside the car and using data to improve performance of electrified products.

These products and systems are expected to play a crucial role in meeting the increased demand for electric vehicles in North America.

Denso North America Board of Directors member and Denso Manufacturing Tennessee president, Jack Helmboldt said: “Since setting roots here, Denso has played a major role in helping Tennessee transform into an automotive production leader.

“This investment enables us to provide new opportunities for top talent to advance the next generation of vehicles.”

Recently, Denso partnered with Toyota and Mazda to form a new joint venture company named EV C.A. Spirit Corporation to implement joint technological development projects for electric vehicles.

The companies stated that they formed this joint venture, as it will become mandatory in several countries in the coming years to have certain proportion of vehicles to be electric to reduce greenhouse gas emissions.


Image: Denso will invest at its Maryville, Tennessee plant. Photo: Courtesy of Denso International America, Inc.