TI Automotive signs deal to supply Vw with plastic fuel tank systems

Article by Christian Andrei, on October 6, 2010

TI Automotive LLC will supply three million plastic fuel tank systems to be used in the European models of the Volkswagen Group, including Audi, Volkswagen, Seat and Skoda.

According to this new contract that TI Automotive has recently signed, production of the systems will start in 2011 at TI's facilities in Ettlingen and Rastatt, Germany, and Pamplona, Spain. The agreement effectively consolidates a big piece of VW's global production into TI's responsibility.

The contract actually stands for about a third of TI's global volumes. TI didn’t disclose the amount of the deal but TI CEO Bill Kozyra released a statement, indicating that under this new program, TI will continue to develop innovative, lightweight fuel tank systems that will cut emissions and help Volkswagen meet its goal of becoming the world's largest automaker.

In the last seven months, TI has entered new contracts amounting to about $3 billion with automakers.

This includes a deal with Daimler AG wherein TI will supply fuel tanks for most of Daimler's Mercedes-Benz models. Presently, TI is the supplier of fuel tanks systems to the VW Passat in Asia and the Audi Q5 and VW Caddy in Europe.

Topics: vw

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