Dusseldorf, Germany-based aluminum manufacturer Rheinmetall has signed a letter of intent (LoI) with an undisclosed North American carmaker to supply aluminum pistons worth €22mn ($26mn).
According to a news release by the aluminum producer on Thursday, the LoI also includes a likely order for piston rings and pins for a four-cylinder engine, which will be valid for around seven years.
Rheinmetall noted that it will produce the piston parts in Mexico, close to the customer’s manufacturing operations in that country. It will start development and research into fuel type and adapt its blueprints accordingly. Production from this new Rheinmetall factory as well as parts installation is expected to begin in 2024.
(€1 = $1.18)