08 Sep 2015

Rheinmetall Automotive wins orders for exhaust gas recirculation components

Worth over €300 million

KSPG AG, the Rheinmetall Group’s Automotive unit, has booked major orders from two prominent automobile makers for innovative components for emission reduction. For the company’s Neuss, Germany-based Mechatronics division (Pierburg), the two orders will add up to over €300 million in sales during the lifetime of the contracts.

The products ordered include exhaust-gas flaps for a large European automaker and exhaust gas recirculation modules for a well-known customer in the United States. The exhaust-gas flaps are part of the control system for exhaust gas recirculation in a low-pressure circuit, and will be produced by Pierburg s.r.o. in the Czech Republic starting in 2017. Production of the exhaust gas recirculation modules also begins in 2017, in this case at KSPG Automotive India Private Ltd in India. Both projects are set to run until 2022. Among other things, these products reduce vehicle emissions, thus helping automobile manufacturers to meet tougher environmental regulations.

Sustained growth

With a product range geared to the global trend toward environmentally sustainable mobility, KSPG AG – present in all major centres of the global automobile industry – is experiencing sturdy, steady growth. Just as in FY 2014, KSPG sales this year have so far outstripped the rate of growth of the international automotive industry as a whole.

During the first half of 2015, Rheinmetall Automotive generated sales of around €1.3 billion. Compared to the same period the previous year, the unit grew by 8%, once again significantly surpassing the 1% increase in global output. Even when adjusted for currency fluctuations, sales at Automotive were still up by some 5%.

About KSPG AG

With annual sales of around €2.5 billion in 2014, KSPG (formerly Kolbenschmidt Pierburg) is one of the world’s top 100 automotive parts suppliers. It is the “Mobility” wing of the Düsseldorf-based Rheinmetall Group.

Working at some forty production locations in Europe, North and South America, Japan, India, and China, KSPG’s 11,000 employees develop and manufacture components, modules and systems for powering current and future automobiles.

Present in major automotive markets around the globe, the company consists of three divisions: Hardparts, Mechatronics and Aftermarket. Trading under the name Kolbenschmidt, KSPG’s Hardparts division produces pistons for passenger cars and commercial vehicles, together with large pistons, engine blocks, cylinder heads and aluminium structural components. It also makes other castings, plain bearings, and continuous casting products.

Operating under the Pierburg brand, the Group’s Mechatronics division specializes in modules and systems for reducing harmful emissions, magnetic valves, actuators and valve drive systems, as well as oil, water, and vacuum pumps for cars, trucks and off-road vehicles.

The Aftermarket division, trading under the name Motorservice, supplies customers in over 130 countries with KSPG spare parts and other products, making it one of the world’s leading single-source suppliers of a vast array of engine parts.

About Rheinmetall AG

Listed on Germany’s MDAX stock exchange, Rheinmetall AG is a robust, internationally successful enterprise active in the automotive parts and defence technology sectors. During the first half of 2015, the Düsseldorf-based Group had sales of nearly €2.4 billion. The Group employs a global workforce of some 20,600.

KSPG, the Rheinmetall Group’s Automotive unit is a globally leading supplier of modules and systems covering every aspect of engine technology. A top European supplier of army technology, the Group’s Defence arm is a reliable partner of the armed forces of numerous nations around the globe.

Rheinmetall AG

Oliver Hoffmann
Head of Press and Public Relations
Rheinmetall Platz 1
40476 Düsseldorf
Germany
Phone: +49 211 473-4748
Fax: +49 211 473-4157

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