Tenneco Automotive Unveils Plans for New Ventures in China

Tenneco Automotive has unveiled plans for two new ventures in China even though they have a suit filed against four Asia-based companies for counterfeiting their products.
The first joint venture is with China’s Chengdu Lingchau Mechanical Plant to establish Chonqging Walker Exhaust Systems. This project will supply emission control products and systems to Changan Ford, a joint venture between Changan Automobile Group and Ford Motor. Tenneco will own 60% of that entity. The other partnership is with Eberspacher International to establish a company named Walker-Eberspacher Automotive Exhaust System, which will make products in China for German automakers. Tenneco will own 30% of this entity.
Tenneco’s web site reports four-Asian based companies are being brought to U.S. District Court in Nevada and sued for unfair competition and false designation of origin under the Lanham Act.
The suit was filed after Tenneco found counterfeit Tenneco bushings on display at the four companies’ booths during the AAPEX trade show in Las Vegas earlier this month.
"Counterfeiting and intellectual property violations represent a multi-billion dollar problem in our industry," says Mark Fissora, chairman and CEO of Tenneco Automotive.
Tenneco’s stock was up 79 cents at $5.65 (U.S,) after the two new Chinese ventures were announced.