Superior Essex Inc., the parent company of Essex Magnet Wire, and Furukawa Electric Co., Ltd., both specialists in magnet wire product development and custom products, announced the finalization of a global joint venture.

A press release said that the joint venture will expand upon a previous magnet wire partnership to create a global market leader, with the combined company to operate as Essex Furukawa Magnet Wire LLC, using the “Essex Furukawa” brand. It said that customers should benefit “from significant synergies, including expansion of custom product solutions, the sharing of best practices, and the ability to better service customers with additional points of shipping, expanded global sales and technical teams, increased global rod and foundry resources, and a diversified global innovation team, especially for EV/HEV developments.”

The release cited a number of advantages of the new global joint venture, as it will allow Essex Furukawa to “lead the industry in technological advancements; have market command positions in North America, Europe, Asia, and Japan; allow for strategic customer partnerships; and expedite R&D advancements. Essex Furukawa will offer the same consistent, quality products with advanced technology—especially for electric vehicles—while offering all of our customers a more robust global network on three continents.”

The release said that there will be no change to the current contracts being honored by either company due to the creation of Essex Furukawa. Of note, earlier this year, Essex Magnet Wire was recognized with a 2019 Business Partner of the Year Award from DENSO, the world’s second largest mobility supplier.