PARIS — Valeo has increased to 100 percent its shareholding in its joint venture entity based in Changchun that develops and manufactures compressors. Valeo previously held a 60 percent stake while Fawer held 40 percent.

Valeo is Fawer’s partner in the FAW-Valeo Climate Control Systems Co. Ltd. joint venture, which produces HVAC (heating, ventilation and air conditioning) systems.

The new company, which employs 130 people and produces compressors for the Chinese and Asian markets, will be named Valeo Compressor (Changchun) Co. Ltd.

The Valeo Group has been present in China for more than 15 years, with facilities in the five automotive industry hubs (Shanghai, Wuhan, Nanjing, Guangzhou and Changchun). The Group employs 3,995 people in six development centers, 15 production plants and a distribution center.

This transaction further strengthens Valeo’s presence in the Chinese market, which represents a key element in the Group’s development strategy. Valeo sales in China are expected to exceed 400 million euros (approximately $586 million) in 2009, an increase of 25 percent compared to 2008.