ArvinMeritor CEO discusses off-highway plans

  • 23-Apr-2010 10:28 EDT
Chip McClure.jpg

“As you look at it going forward in the future, as I talk about ArvinMeritor I won’t just be talking about on-highway trucks here in North America; I will truly be talking about a lot of these other growing business segments, whether it’s the aftermarket, off-highway, defense, or specialty, or whether it’s expanding and growing our global footprint,” said ArvinMeritor’s Chip McClure at a roundtable during the recent SAE 2010 World Congress in Detroit. (Ryan Gehm)

“Later this year, we expect to announce some significant programs in the off-highway side—off-highway is essentially all the construction, material handling, mining, and specialty. There is a lot of discussion right now on building infrastructure in the U.S. Therefore, it’s going to become a very important market going forward,” Chip McClure, Chairman, Chief Executive Officer, and President of ArvinMeritor, said at a roundtable with select media at the annual SAE World Congress breakfast sponsored by the Detroit Regional Economic Partnership. The company rejoined the off-highway market in North America in the spring of 2008 after a non-compete clause expired, but China was excluded from that non-compete. “We’ve actually had a very successful joint venture in China since the early '90s,” McClure explained. “Our partner there is XCMG [Xuzhou Construction Machinery Group], which is kind of like the Caterpillar of China. If you look at China…about half the stimulus program they did was to build new roads in Western China. So our plants are back to 24/7 there.” Though North America and Asia (primarily China) are the only places where ArvinMeritor is currently doing business in off-highway, South America and Europe are potential future markets, noted company spokesperson Lin Cummins. In North America, the company builds off-highway components at its Newark, OH, plant. Reinforcing its commitment to global off-highway markets, ArvinMeritor revealed two new heavy-duty axles, for terminal tractors and all-terrain cranes, at the Bauma show.

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