American Axle Posts Backlog of $1.4 Million in New Business
The notable auto components maker, American Axle & Manufacturing Holdings Inc. has announced its $1.4 million backlog in new and incremental business that will begin from 2009 through 2013.
About half of new business is tied for rear-wheel-drive and all-wheel-drive products for cars and crossover vehicles. Talks are also going on to begin production of electronics products, including transmission differentials and transfer cases.
Richard E. Dauch, American Axle CEO had this to say about the new business, “American Axle’s success in growing its new business backlog demonstrates that our long-term strategic goals of expanding and diversifying American Axle’s product portfolio, customer base, served markets and global manufacturing footprint are on track and in balance with the needs of our customers.”
Dauch said that, more than 50 percent of the part supplier’s production will be done abroad including Brazil, China, India, Mexico, Poland and Thailand and 65 to 70 percent of that production will be shipped back to the United States.
The company will be starting about one-third of its new business from 2009 to 2013 and the remaining would start in between 2012 and 2013. The Nissan Motor Company and Renault S.A. are a few to name among the customers covered by the new business. American Axle’s Mexico plant will produce rear axles and drive shafts for Nissan’s 2010 model year
light-vehicle program.
For Renault S.A., the supplier will produce rear dual-wheel axles for a 2011 model year light commercial-vehicle program.
Last week only, the supplier’s largest customer, General Motors Corporation has forwarded the helping hand by kicking in about $215 million in settling down a three-month long strike between American Axle and UAW union. The financial assistance yet has to be received by the supplier, which will be completed in three cash payments between August and April 2009.
In this context, Dauch said, “We greatly appreciate the strategic partnership. GM has been a great customer to American Axle and American Axle has been a great supplier to GM.”
