Japanese components firm Toyoda Machine Works and US giant TRW are to build a factory at the Neath Vale supplier park in Port Talbot. It will be adjacent to TRW Steering Systems’ Resolven plant which supplies Honda, Nissan, Volvo, Rover, Ford and Porsche.
The plant will make pumps used in power steering systems for the automotive industry and employ up to 200 staff over three years.
The joint venture, Toyoda TRW Steering Pumps, 60:40 in favour of Toyoda, represents an investment of £10.7m. The two sides have a similar operation in Tennessee, US. One of Toyoda’s principal shareholders is Toyota, which is investing £60m at its car manufacturing plant in Clwyd.
The automotive industry is the largest manufacturing sector in Wales, with annual sales of £1.7bn. Other ongoing investments include Showa building a £10m plant in Cynon Valley to produce steering and suspension system components and a £12m factory for Bertrand Fraure at Tredegar to make seats for Rover and Ford vehicles.