More Chinese automotive companies are emerging as bidders for global automotive assets.
In the latest case, Yubei (Xinxiang) Power Steering System Co. Ltd. is close to a deal to buy the former Delphi Steering business General Motors Co. wants to sell, sources at the division, now known as Nexteer Automotive, told Automotive News last week.
Nexteer, which operates inside GM as a stand-alone business, makes electric and hydraulic power steering modules.
Yubei is owned by a powerful state-owned aviation and auto parts consortium, China Aviation Industry Corp. Yubei is relatively small today -- its sales of hydraulic steering products are expected to reach $125 million this year.
Electric steering is lighter and therefore favored by companies seeking to improve fuel economy. But heavier hydraulic technology still is used widely in emerging markets.
GM and Nexteer spokespeople declined to discuss the possible sale.