Wednesday 8th Apr 2020 - Logistics & Supply Chain

Modular concept deal for automotive sector

Recaro, a manufacturer of seat systems for the automotive industry, and DHL Exel Supply Chain have signed an agreement for cooperation concerning the modular manufacturing and logistics of car seats. The deal will facilitate their future joint development, procurement, assembly, warehousing and transport of premium car seats. The agreement was signed at the recent 24th German Logistics Congress in Berlin.

Under the new business model, Recaro will centre on its core competences in the development, marketing and distribution of car seats, whereas DHL, in addition to its responsibilities for all logistics, will also be responsible for the assembly of the seat systems as well as international coverage using module centre sites close to the car manufacturers and OEMs. Customers will benefit from significantly reduced delivery times and a low cost structure.

Horst Kespohl, chairman of the executive board of Recaro, says: ‘This combined business approach is a continuation of our efforts to position Recaro as a highly qualified system supplier for the automotive industry. Recaro products have always fulfilled the individual requirements of motorists. Now we are able to offer our customers our performances “outside their front doors”. The radical and intelligent restructuring of the value-added chain is a major process innovation that will also benefit our customers in terms of reduced costs.”

DHL has specialised for some time in providing assembly services for the automotive industry, such as the pre-assembly of door side panels for the Audi A4 and A6.

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