With all the talk of PSA Group buying GM’s European operations we thought we’d delve further into the groups other holdings.
The most closely tied to automotive manufacturing are Faurecia and Gefco.
If you didn’t know Faurecia manufacture all the interiors for Peugeot/Citroen models. If you look really closely you’ll sometimes be able to see the Faurecia mark on internal trim parts.
The company was founded just 20 years ago in 1997, they are now the 6th largest automotive parts producer in the world. Back in 2013 they were number one for vehicles interiors and emissions tech.
Forming back in 1997 the company was a merger between Bertrand Faure and ECIA. Bertand Faure was a specialist company in the spring based seat cushion field for the automotive sector. ECIA were a Peugeot subsidiary that manufactured seats, front ends and interiors, it was also one of Europe’s best exhaust system makers.
In 1998 there were 32,000 employees with a sales book of roughly four billion euros. They continued expanding by acquiring US based company AP Automotive Systems, again they are a big exhaust system company based across the pond.
In 2000 Faurecia bought Sommer Allibert, a company set up in the 80’s, Sommer Allibert make vehicles flooring and moulded plastic parts. Again, in 2010 another acquisition was made, this time Emcon Technologies, an exhaust specialist, shortly followed by Plastal’s companies in Spain, Germany and France by 2012.
As of 2015 Faurecia run 330 sites in 30 R&D centres in 34 countries, focusing mainly on seating, interior systems and emissions control technologies. They are now the third largest supplier of complete seat systems.
But it’s not just PSA group vehicles that they make interiors for, they also supply the Volkswagen Group, Renault-Nissan, Ford, GM, BMW, Daimler, Fiat/Chrysler, Toyota and Hyundai/Kia.
It’s not just seats either, a big part of their manufacturing is in the PU processing field – Polyurethane products – so that covers things like instrument panels, door trims, headlining, steering wheels, bumpers, spoilers and yes even seats.
The process involves huge mold carrier devices that stamp and form the plastic by either electric, hydraulic or pneumatic systems, thus creating your dash, a bumper…something recognisable.
Anyway, last year Faurecia sold off their bumper business to Plastic Omnium for 665 million Euros, this sale enabled the company to become debt free in one fell swoop. This sale dropped PSA Group shareholding down to 47%
Although not the main focus on this piece, GEFCO are another company owned by PSA Group.
Formed in 1949 the name comes from ‘Les Groupages Express de Franche-Comté’. They are a multimodal private land transport network with 80 hubs and branches spread over 65 logistic platforms. It’s co owned with the Russian Railway Company, it’s a top ten European logistics provider having originally been set up to streamline transport operations between Paris and PSA’s plant in Sochaux.
If you order any car parts from the Peugeot/Citroen dealer network, GEFCO deliver them. They also make deliveries for GM, Renault, Toyota, Ford, VW and BMW.
GEFCO have operations in Switzerland, UK, Germany, Europe, Brazil, Argentina, Morocco, Tunisia, China, Hong Kong, Chile and North Africa…basically the whole world.
In 2012 the Russian Railway Company purchases 75% of GEFCO with shares worth 800 million euros, with PSA retaining 25%.
Just last November PSA Group signed a contract that trusts GEFCO with the management of its global supply chain from 2017-2022.
PSA Group also own a few other companies, they even have their own bank to help self-finance cars! It will be interesting to see if any other restructuring occurs due to the GM buyout.