Behr Dayton plant embraces challenges of recovering auto market

With consolidated and modernized facilities, Behr America’s Dayton plant in Ohio is ready to meet growing customer demands as the U.S. economy and automotive industry recovers, the company’s president said on June 15.

“We expect that production at our Dayton plant will grow as the domestic vehicle market continues to recover from the recession,” Heinz-J. Otto, president and CEO of Behr America, told a Dayton luncheon program.

“New jobs at Behr will depend on market growth conditions,” he said. “With recent market improvements, we have been able to increase employment from earlier recession levels. Barring an unexpected market drop, employment in Dayton is expected to remain at around 1,000, accounting for nearly-half of the company’s 2,200 employees in North America.”

“Dayton’s workforce remains one of the most hard-working and skilled groups of men and women anywhere in the country, and this plant upgrade will ensure that Behr will remain a part of Dayton’s economic infrastructure for many years to come,” said Dayton Mayor Gary Leitzell.

Because cooling technology – Behr’s area of expertise – will be increasingly important to automakers in their efforts to meet economic and environmental goals, as well as consumer demands, Otto said the Dayton plant will play a key role in the auto industry’s future.

Behr’s engine cooling and air conditioning technology is focused on making internal combustion engine-powered vehicles more efficient. It is an important factor in improving fuel economy and reducing carbon and pollutant emissions in cars and trucks, and also is key to the development of electric vehicles.

“Taking the recent crisis out of the equation, our Dayton plant’s business outlook has improved over the past five years,” Otto pointed out. “We no longer depend on a single customer. We now have a variety of customers and products for both passenger vehicles, heavy trucks and other commercial vehicles. We currently make engine-cooling and air-conditioning components and systems for cars built by GM, Ford and Chrysler, U.S.-built cars by BMW and Mercedes, and heavy trucks produced by Freightliner and International.”

“The four-year agreement we reached last year with our local unions is a key to our future in Dayton. It brings our production costs in Dayton closer to our competitors in the industry and enables Behr to provide competitive wages, health care benefits, paid holidays, job classifications, profit sharing and tuition assistance.”

Behr America has overcome the severe impact of the global recession and expects to return to profitability next year, Otto added. Behr America sales were $554 million in 2009, compared with $830 to $870 million in the pre-recession years of 2003-2007.

Behr’s North American headquarters is in Troy, Mich. Behr America has nearly 2,200 employees at facilities in Troy, Mich.; Dayton, Ohio; Charleston, S.C.; Fort Worth, Texas; and Ramos Arizpe, Mexico.