NK Technologies Forms Mexican Venture
Beginning in the second quarter, the new entity — N-K Industrias Gesta — will fabricate and assemble plastic components for the automotive industry and for other industries.
N-K advises that it expects the venture to hike sales by 10 percent during 2003.
Armen Kassouni, vice president, said N-K is happy to have established the venture. He said Industrias Gesta is a well-respected, family-owned operation located in Monterrey, the heart of industrial Mexico.
“This agreement will allow us to better serve our customers’ needs throughout North America.
“The automotive industry expects an increasingly global presence from its suppliers,” he added. “This agreement is a continuation of our strategic efforts to expand our global reach, and we look forward to establishing a solid and long-lasting relationship with Industrias Gesta.”
He said the Mexican firm specializes in injection molding, metal stamping, paint and assembly work for a wide variety of industrials, including automobiles, heavy-duty batteries, consumer appliances and decorative applications.
Industrias Gesta is ISO 9002 and QS 9000 certified and owns and operates presses ranging from 20 to 1,100 tons in a 67,000-square-foot building.
The joint venture will initially produce and assemble a number of products for automotive clients in Mexico. Currently, N-K produces the products here, but because they are light and relatively fragile, they are susceptible to damage in transit. Enabling N-K Industrias Gesta to fabricate them will reduce their shipping distance and vulnerability.
The venture also will give Gesta greater access to auto manufacturers in the U.S. and elsewhere.
Kassouni said the arrangement also will free up capacity in N-K’s Grand Rapids operation for new work slated to begin in autumn for customers in the tri-state area.
N-K is a custom molder of plastics specializing in multi-slot, insert and over-molding technologies.Nicholas Plastics is a single-source, vertically integrated, value-added provider of plastic for the automotive and office furniture industries and related clients. In addition to its Grand Rapids headquarters, Nicholas has manufacturing plants here and in Allendale and a technical sales and design center in Troy.