International Automotive Components (IAC) announced that it has formed a joint venture with Feltex Automotive, a South African-based supplier of automotive flooring, acoustics and trim components. The joint venture, IAC-Feltex, marks IAC's entry into the growing South African automotive market. IAC's headquarters are in Luxembourg and it operates 79 manufacturing facilities in 18 countries and employs 26 000 people globally.SUPPORTING FORD, MERCEDES AND TOYOTAIAC will provide design, engineering and manufacturing expertise for vehicle interior components. Feltex has been operating in South Africa since 1937. The IAC-Feltex JV will be located in the East London, IDZ Automotive Supplier Park.The joint venture will initially support current production requirements for Ford, Mercedes-Benz, Toyota and Volkswagen and is positioned to support additional business opportunities. The facility will support global vehicle programs, such as the Mercedes-Benz C-Class, for which IAC will supply the interior garnish trim, flooring system, boot trim and wheel arch liners.IAC president and chief executive officer, James Kamsickas, said: "We believe that the joint venture's complementary products and design, engineering and manufacturing expertise will provide value to our multinational customers, which are producing vehicles in South Africa." SA VEHICLE INDUSTRY SNAP-SHOTAccording to Information Handling Services industry projections, the South African vehicle industry is expected to increase its annual passenger car production to more than 600 000 units by 2018.The National Association of Automobile Manufacturers of SA reported that the number of new vehicles sold in June 2013 increased by 3.3% to 53 562 models. Passenger car sales contributed 3.2% to the growth, while Light Commercial Vehicles grew 2.3%.The new vehicle market ended the first half of 2013 in good shape, 6.8% ahead of the first six months of 2012 and in line with expectations and broad forecasts of 7%.It's not all good news however. If the government goes ahead with plans to ban the sale of second-hand car parts the industry could be severely damaged.Click here for a list of top selling vehicles in June 2013.