Aisin-Bosch Joint Venture Expanding CVT Belt Production by 60%; Toyota Ramping Up

5 August 2006

Nikkei. CVTec Co., a joint venture between Aisin Seiki and Robert Bosch Group, is expanding production of belts for CVTs (continuously variable transmissions).

By the end of this year, CVTec aims to boost production capacity 60% from current levels to 800,000 units per year. It will also increase it workforce by 60%. No large-scale installation of capital assets is expected.

The company makes belts that are incorporated into CVTs used in vehicles made by Toyota Motor, and the expansion is in response to growing inquiries from Toyota as the automaker increases production of vehicles equipped with CVT, which offer greater fuel efficiency than conventional automatic transmissions, according to the report. Sales of CVT-equipped vehicles are strong as consumers grapple with the soaring price of gasoline.

Toyota earlier announced that beginning this fall, the company’ 2007 model year compact and midsize vehicles will feature a new powertrain with a 1.8-liter gasoline engine and continuously variable transmission (CVT). The engine’s Dual VVT-i (Variable Valve Timing-intelligent) enables continuous control of optimum valve timing for various engine speeds and loads together with torque-strong performance. The combination of VVT-i and CVT results in improved efficiency and lower CO₂ emissions.