Automation expert ABB and China’s leading automotive parts supplier, HASCO, have formed a joint venture that aims to ‘drive the next generation of smart manufacturing’ in China’s automotive industry. It will build on the existing successful relationship between the two companies and result in the development of ‘highly flexible and sustainable auto parts manufacturing within HASCO’s China-based operations’.

The partnership which includes a 40% stake by ABB, will expand the use of ‘smart technologies and artificial intelligence’ within the industry. Both parties agreed not to disclose any further details about the investment.

Sami Atiya, president of ‘ABB Robotics & Discrete Automation’, said: “With the automotive industry facing its greatest transformation since its inception and sales of electric vehicles (EVs) set to overtake combustion-engined vehicles in many parts of the world by 2035, there is a clear need to support the industry’s transition.

“This joint venture will enable us to further develop HASCO’s leading position with automated solutions that benefit customers in China, which — as one of the largest automotive manufacturing marketplaces — will play a pivotal role in delivering a sustainable transport future.”

The partnership, which is expected to commence operation in Q2 2022, will build on the expertise and manufacturing experience of both partners to ‘realise the enormous potential for increasing efficiency within the automotive parts industry’. Customers in a range of industries, from vehicle body to chassis systems, power and battery electronics to e-drive systems, will benefit from new, highly efficient and environmentally sustainable manufacturing methods.

ABB was the first multinational robot supplier in China to ‘localise its full value chain’ — R&D, manufacturing, sales, engineering, and system integration. In 2022, ABB will open an advanced robotics factory in Shanghai; this will host an onsite research and development centre aimed at accelerating innovations in product development, artificial intelligence, and customer collaboration on automation solutions.