Chrysler talking to ZF about axle production
Chrysler and ZF Friedrichshafen AG are in discussions that could lead to the German driveline supplier producing axles at Chrysler’s new Marysville plant, which is scheduled to open in 2010. The $700 million facility would replace Detroit Axle.
Spokesmen for both companies confirmed the talks. Chrysler spokesman Dave Elshoff said, “We’ve got some non-binding discussions going on with ZF.”
As part of its effort to control costs, Chrysler has been shifting work to suppliers. With 2007 sales of $17.3 billion, ZF is one of the world’s leading manufacturers of driveline components.
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