HUNTSVILLE, Ala. — Nearly four years after Siemens VDO Automotive Corp. bought an electronics plant here from Chrysler, the factory is still heavily dependent on its former owner.
The plant steadily has added new contracts from high-profile customers such as BMW AG and Ford Motor Co. The site also has added an electronics development center for North America. But the dominant customer remains Chrysler LLC — and it is cutting production.
Continental AG is in the process of buying Siemens VDO and its automotive business from Siemens AG. The deal is expected to close this month.
Siemens VDO bought the plant in April 2004 with two goals:
1. Get the lucrative electronics business of what then was DaimlerChrysler.
2. Use the plant as a base to increase Siemens' North American market share and manufacturing business with other customers.