ArvinMeritor Inc. has announced a joint venture agreement with Randon Participacoes, Caxias do Sul, Brazil, to develop, manufacture and sell truck and trailer components in South America.

The new joint venture, Suspensys, will focus on truck suspensions, trailer axles and suspensions, and related wheel-end equipment. Suspensys will have its own sales and marketing organization to interface with OEM customers and provide service and aftermarket support.

Under the agreement, Suspensys, previously a division of Randon, will become a 50-50 partnership between ArvinMeritor and Randon.

Randon, a large conglomerate of companies specializing in numerous markets in Latin America, holds core competencies in the manufacturing of road equipment and specialty vehicles, as well as automotive systems and components.

Since 1986, ArvinMeritor and Randon have been joint venture partners in Master Sistemas Automotivos Limitada. Master, also based in Caxias do Sul, is chartered to manufacture, assemble, and market on-highway heavy vehicle brakes.