TPT September 2008

From the AmericaS

M A C H I N E D E S I G N I N A C L A S S O F I T ‘ S O W N Economical, flexible…

at which point Toyota had a one-day supply of the Prius, imported from Japan. Toyota’s announcements came after its first-half truck sales in the US fell 6.8 per cent. Jim Wiseman, vice president for external affairs for Toyota Motor Engineering and Manufacturing North America, said in a statement that the changes Toyota is making demonstrate the company’s continuing “long-term commitment to [its] North American operations” despite the weakened market.

… and alternate production of inline-welded short tubes of different diameters with no tooling required. All settings are program-controlled. A compact and inexpensive system offering convenient operation and reduced space requirements, whose benefits are evident.

Off-highway vehicles pull auto parts supplier Dana to higher ground

Dana Holding Corp, the Toledo, Ohio-based axle and frame maker that emerged from bankruptcy only in February, presents another example of adjustment to the new and harsh realities of the US auto industry. Under its chief executive, Gary Convis, who spent 24 years at the US manufacturing unit of Toyota Motor Corp before taking over at Dana in April, the company is switching its focus to selling parts for tractors and construction equipment. Parts such as transmissions for off-highway vehicles may further boost sales for that Dana division, which increased 26 per cent last year and totaled $479 million in the first quarter, Mr Convis told Bloomberg News . “That business has been growing about 20 per cent a year for several years,” he said. “Construction in the emerging markets as well as agriculture and mining is where we are really capable.” The new thrust was of course prompted by rising steel prices and the 10 per cent decline in US auto sales this year, which have hindered Dana’s ability to end three years of losses. But the challenge finds the supplier in fighting trim. As noted by Bloomberg ’s Alex Ortolani, Dana left bankruptcy protection after reaping $440 million to $475 million in annual savings by closing plants and agreeing to a new contract with US union workers ( ‘Dana’s ‘off-highway’ parts boost sales as cars fall,’ 11 July 11). The rewards are timely for the company, whose value had dropped 52 per cent since its emergence from bankruptcy. Three days before the Bloomberg interview, Dana’s shares rose 17 per cent in New York Stock Exchange composite trading, for the company’s biggest gain since the bankruptcy exit. One analyst accompanied his ‘buy’ rating with the suggestion that Dana may eventually sell or find partners for some divisions. Even so, rising steel prices are a continuing concern, with a reported average for June of $1,145 per ton for automakers, up 86 per cent from June 2007. “We cut costs while in bankruptcy, and we continue to cut costs,” Mr Convis said. “But we need the market to stabilize.” Moreover, as Mr Ortolani noted, Dana “faces competition in off- highway business from Caterpillar as well as Navistar International Corporation.” Caterpillar Inc (Peoria, Illinois) is the world’s largest maker of earthmoving equipment. Navistar (Warrenville, Illinois), formerly International Harvester Co, makes diesel engines and is also a provider of truck and diesel engine parts and services.

Hall 011 Booth E29

Welding machines Tube production centers Roll forming machines Tube cutting machines

Tube finishing machines Special laser welding applications Tube productions machines

weil engineering gmbh Neuenburger Str. 23 79379 Müllheim Germany

Phone: +49 (7631) 18 09 0 Fax: +49 (7631) 18 09 49 info@weil-engineering.de www.weil-engineering.de

Dorothy Fabian , features editor (USA)

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S eptember 2008

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