Wuhan-based China Automotive Systems, a power steering components and systems supplier in China, has announced that its first global OEM customer is the Chrysler Group LLC, which is headquartered in North America.
In November 2008, CAAS received its first order from Chrysler to export power steering gears to Chrysler's North America assembly facility. Since mid-2009, the steering gears have been exported from China to the United States and installed in the Chrysler's Jeep Wrangler models.
Chrysler conducted an initial screen and review of CAAS's research and development capacity, quality control and production capabilities as part of the supplier development process. CAAS and Chrysler next created a framework for their future joint development. The company successfully passed several product evaluations and road tests resulting in Chrysler accepting the company's power steering gears and issuing a purchase order.
CAAS also announced that it has begun production of its electronic power steering system. This new electronic power steering product and technology represents the first such steering system developed internally within China. The Company is currently supplying this EPS system at a rate of 2,000 units per month to Suzuki Auto in China.
The company is in the process of opening a research and development center in Henglong in Jingzhou City.