Aisin to Merge CVTEC and CVTEC Hokkaido to Optimize CVT Metal Belt Production

Aisin Corporation announced on July 1 that it will merge its consolidated subsidiaries, CVTEC and CVTEC Hokkaido, effective April 1, 2028. Both companies manufacture metal belts used in continuously variable transmissions (CVTs). The integration forms part of the company's broader initiative to strengthen its manufacturing network, improve operational efficiency, and reinforce its long-term business foundation. The merger will retain CVTEC as the surviving entity while streamlining production activities across its facilities in Japan.

Under the planned restructuring, CVTEC Hokkaido's production operations will continue until December 2027 before the facility is permanently closed by the end of March 2028. Production responsibilities will be consolidated into CVTEC following the merger. This transition is intended to simplify manufacturing operations, optimize production capacity, and improve resource utilization while maintaining the group's focus on supplying high-quality metal belts for CVTs.

Aisin explained that the consolidation aligns with its ongoing business structure reforms, which prioritize directing management resources toward future growth opportunities. The company has been pursuing initiatives to strengthen its operational base through functional integration, manufacturing efficiency improvements, and optimization of production sites. By combining overlapping capabilities, Aisin aims to build a more competitive and sustainable production system that supports its long-term strategic objectives.

Frequently Asked Questions

Why is Aisin merging CVTEC and CVTEC Hokkaido?
Aisin is merging CVTEC and CVTEC Hokkaido to improve manufacturing efficiency, optimize production capacity, and strengthen its business foundation through the consolidation of overlapping operations. The merger supports the company's long-term restructuring strategy by integrating production resources into a single entity while enhancing operational effectiveness. CVTEC will remain the surviving company, and the Hokkaido production facility will cease operations before closing completely by the end of March 2028.