NOVI, Mich. -- Cooper Standard Automotive has signed a memorandum of understanding (MoU) with Nishikawa Rubber Co. Ltd., providing for the expansion of the existing joint venture relationship between the two companies.

Cooper Standard and Nishikawa are currently partners in automotive sealing product manufacturing joint ventures in the United States and Mexico. They intend to broaden their relationship into a more global alliance that will enhance the capabilities of both companies to serve their customers.

The MoU calls for Nishikawa to sell to Cooper Standard a 20 percent interest in Nishikawa's existing sealing business in Thailand, and the subsequent sale by Cooper Standard to Nishikawa of a minority interest in Cooper Standard's existing sealing business in Myslenice, Poland.

The parties also are restructuring their existing joint ventures in North America. Nishikawa has acquired additional shares in the U.S. joint venture, returning to its original 60 percent majority position. Cooper Standard will increase its majority position in the joint venture in Mexico.

"The expansion of Cooper Standard's partnership with Nishikawa Rubber Co. into other regions of the world is another important step in our company's strategic global growth plan," said Jim McElya, chairman and CEO, Cooper Standard. "Our relationship with Nishikawa provides both partners with additional opportunities for new business and assists us in providing our customers with a comprehensive body sealing product portfolio that meets their evolving needs on a global basis."

All transactions are expected to be completed within the year. Both companies say they will continue to operate other sealing businesses outside of the framework of their global alliance.