global market review of automotive mirrors

Global market review ofautomotive mirrors - forecasts

to 2028

October 2013

Introduction

Next time you look at your interior rearview mirror, take a second look. It could feature a number of different functions such as a

compass or a tyre pressure data and temperature display. In fact, the humble rearview mirror has been transformed over the last

decade into a high-tech electronic module.

Ten years ago, rearview mirrors were only a combination of plastic housing and glass, said Ramon Guixa, director of Ficosas

rearview systems business. Today, the vehicle mirror includes a lot of new functions, like blinker, power folding, electrochromic

glass, vision cameras, etc. We recently just set up a joint venture with Omron Corp to develop and supply ADAS [advanced driver

assistance systems] to the OEMs. We are currently working integrating antennae into the exterior rearview mirror. We expect to be

in production next year. By integrating antennae and a number of other functions into the mirror, we can achieve considerable

production cost savings for the OEMs. Some OEMs are even talking about an assembly cost saving in the region of 20-30% due to

our approach.

Tomorrows mirrors, say mirror makers, will feature fog sensing/signalling modules, gas sensing, occupant sensing, sign detection,

pedestrian detection, etc. While more and more features are being packed into rearview mirrors, embedded camera technology is

developing quickly.

Automotive camera technology has developed at such a fast pace that we now believe some vehicle mirrors could eventually be

replaced with cameras in the next five years, said Alf Liesener, marketing manager, SMR Autromotive. Although we not aware of

any contract, it is our clear impression of what is going on in the market today. The early designs could resemble a combination of

mirror and camera technology into one exterior unit, providing reassurance to the driver that they can still see something in their

rear view. While we dont know exactly how this market will take shape, we do expect to see more cameras for diverse applications

on vehicles in the future, some of them even providing images that are displayed on a screen in the dashboard. Backing-up cameras

are in the market already today. [Our research proves] that drivers get used to the new rearview device very quickly and

appreciate the advantages. We also see numerous advantages in cameras being used to replace exterior mirrors potentially leading

to the same level of acceptance.

About this serviceAbout this service

This service on rearview mirrors includes market trends, shares and forecasts as well as a technical round-up of various

technologies and brief company profiles. Our manufacturer market share estimates for mirrors cover global (OE manufacturer

markets shares of auto-dimming mirrors), Asia-Pacific (OE exterior mirrors), Europe (OE exterior mirrors; OE interior mirrors) and

North America (OE exterior mirrors). Our forecasts cover interior (auto and non-auto dimming mirrors) and exterior (auto and

non-auto dimming mirrors) fitted to newly-assembled passenger cars and light vehicles across 14 markets.

An electrochromic (auto-dimming) rearview mirror automatically darkens during night time driving in response to headlights.

Exterior auto-dimming mirrors are controlled by the sensors and electronic circuitry in the interior auto-dimming mirror, and both

the interior and exterior mirrors dim simultaneously.

Copyright 2013, Aroq Ltd October 2013 3

Companies

Ficosa International, S.A.

Ficosas interior rearview mirror range includes models with chromatic glass and prismatic glass (the traditional type) as well as

anti-glare mirrors. Some of its mirrors have antennae, safety sensors, microphones and other features inside them.

Ficosa's exterior rearview mirror range includes models with power functions (electric folding mirrors), spherical glass, temperature

sensors, glass demister, body-coloured painted mirrors, memory and antenna. Under the Wilke brand, Ficosa supplies rearview

mirrors for buses, trucks, vans, tractors and agricultural vehicles. Ficosas power folding mirrors involve turning the rearview mirror

on its axis when the vehicle is parked by means of an electric motor with memory that acts on the pivot. It also has the function of

automatically returning to its position if the exterior rearview mirror is moved as a result of being hit.

In addition to interior and exterior rearview mirrors, Ficosas automotive division develops and manufactures command and control

systems (shifters, parking brakes, pedals, cables and dashboards), underhood systems (windshield washers and headlight washers,

tanks and aeration tubes), security and locking systems (keys, levers and centralised locking systems).

Organisational structure

Ficosa Internationals origins date back to 1949 when Pujol y Tarrago was founded in Barcelona as a manufacturer of control cable

parts. During the 1980s, Ficosa strengthened its manufacturing capabilities in Spain and extended its reach into Europe,

establishing subsidiaries in Germany (Ficosa International GmbH), France (Ficosa International SA), UK (Ficosa International Ltd)

and Italy (Ficosa International SRL).

In 1991, Ficosa opened a new factory in Tamworth, UK, bringing the number of countries with production centres to four (Spain,

France, Portugal and the UK).

In 1993, the company established a manufacturing presence in North America, setting up Ficosa North America SA de CV in

Mexico. Three years later, Ficosa opened a development and engineering centre in Madison Heights, Michigan, US.

In 1997, the company moved into South America, setting up Ficosa do Brasil and Ficosa Argentina. Ficosas move into China with

Shanghai Benyuan is also significant. Shanghai Benyuan is Chinas second-largest supplier of vehicle rearview mirrors.

In 1999, Ficosa acquired Metallwarenfabrik Wilke, a manufacturer of mirrors for buses and industrial vehicles. A year later, the

company purchased the mirror division of Magneti Marelli, bolstering its presence in Italy, France, Spain, Poland, Turkey, Brazil and

Argentina.


Over the past decade, Ficosa has gradually expanded its presence in low-cost countries, namely Mexico, Brazil, Poland, Turkey,

India and China. Ficosa makes commodity products in these low-cost countries while producing high added-value products at its

facilities in Spain. The company has reinvented itself on more than one occasion over its 50-year history. While it began life

producing mechanical cables, it is now a diversified multinational organisation.

In April 2008, Ficosa acquired Delbar Products Inc. In 2007, Delbar had an 8 percent share of the North American exterior rearview

mirror market.

Today, Ficosa is organised into seven business units, namely:

Rear View Systems;

Advanced Communication;

Command & Control Systems;

Underhood Systems;

Door & Seat Systems;

Commercial Vehicle; and

Security & Lock Systems.

Ficosas exterior rearview mirrors incorporate a variety of functionalities, including power folding systems with memory and

automatic return functionality, mirror demisters, temperature sensor, aspherical glass, electrochromic glass and antennae.

Ficosa currently has manufacturing plants in four NAFTA locations: Indiana, Tennessee, Kentucky (a plant acquired from Japanese

firm Ichikoh in 2010) and in Monterrey (Mexico). Its presence in the US also includes a R&D centre in Michigan. Ficosa is focusing

its growth beyond NAFTA, reaching out to Asian markets, which it expects will generate 30 percent of its sales by 2016. Its efforts

to expand in Asia include plans for two new assembly plants to support its Shanghai manufacturing facility which is currently being

expanded.

Argentina Ficosa Argentina SA;

Brazil Ficosa do Brasil Ltda;

France Fico CIPA SARL; Fico Mirrors France-Dieuze;

Germany Wilke Ficosa;

India Tata Ficosa Automotive Systems Pvt Lvd;

Italy Fico Mirrors Italia, Venaria Reale; Fico Mirrors Italia, Morcone;

Mexico Ficosa North America SA de CV; and


Poland Fico Mirrors Polska.

Customers and contracts

Ficosa supplies rearview mirrors for the following vehicle models:

Ferrari F599

Audi TT

Audi Le Mans

BMW X3

VW Touareg

Peugeot 207

Bentley Continental

Peugeot 407

Fiat 500

Ford S-Max

Fiat Ducato

Ford Kuga

Dacia Logan

Maserati Gran Turismo

Tata Nano

Citron Berlingo

Seat Ibiza

Ficosa also operatestechnical centres in Barcelona, Germany, Italy and Japan. The company spends about 5% of its annual turnover

on R&D.


Since 1998, Ficosa has developed and produced several parts for Toyota in its facilities in Spain, Portugal, Turkey, Brazil and China.

These parts include gearshift systems, parking brake levers, rearview mirrors, windscreen cleaning systems and telescopic springs.

Merger and acquisition activity

In May 2010, Ficosa and Ichikoh signed a deal to create a global alliance in the automotive mirror business. At the time of

announcing the agreement, the partners claimed the alliance will represent the worlds largest supplier of automotive mirrors. In a

statement, the partners said: Ficosa-Ichikoh will have a leading presence in North America (United States, Mexico and Canada),

South America, South Africa and Asia. The footprint in Asia is considered to be especially important by the alliance given its

emerging importance on the world stage, as Asia is expected to account for 50 percent of the worldwide automotive production in

2014. Ficosa says it will acquire the industrial operations and businesses of Ichikoh in the US.

In July 2010, Ficosa and Germanys Huf Hulsbeck & Furst GmbH & Co KG finished their 27 year collaboration in Spain and

Portugal. Huf acquired the 50 percent stake Ficosa had held in the companies Huf Espana and Huf Portuguesa.

In March 2011, Ficosa acquired US-based rearview mirror manufacturer, Camryn. Ficosa says that the move positions it for a 20

percent increase in sales in the NAFTA region, diversifies its customer base and increases its Asian manufacturing presence from 2

percent to 25 percent. Camryn is the third US company Ficosa has bought since acquiring Delbar in 2008 and IMIC in 2010. This

latest acquisition is expected to increase Ficosas rearview market share in NAFTA to 28.7 percent.

Spain Fico Mirrors SA, Mollet de Valles; Fico Mirrors SA, Soria; Fico Mirrors SA, Nalda;

Turkey Fico Mirrors Turkiye; and

USA Ficosa North America Corp.

Gentex Corporation

Gentex is a major supplier of auto-dimming rearview mirror systems. The company produces two product lines: interior and

exterior auto-dimming rearview mirrors (accounting for about 98% of sales revenues) and fire protection products for commercial

applications and dimmable aircraft windows.

In July 2013, Gentex signed a definitive agreement to acquire Johnson Controls' HomeLink business. HomeLink, a vehicle-based

control system that enables drivers to remotely activate garage door openers, entry door locks, home lighting, security systems,

entry gates, and other radio frequency convenience products, has been integrated into Gentex' automatic-dimming rearview

mirrors for more than ten years. Under the terms of the agreement, Gentex will acquire all of Johnson Controls' HomeLink assets,

intellectual property, testing facilities, and the employees who manage and support the business, for a purchase price of

US$700m.


Organisational structure

Headquartered in Zeeland, Michigan, US, Gentex employs 3,700 workers at its sites in the US, the UK, France, Germany, Sweden,

Japan, Korea, and China. The company operates five plants (four automotive, and one fire protection), all of which are located in

Zeeland, Michigan.

Infrastructure

Gentex operates six manufacturing plants, (five automotive and one fire protection), all of which are located in Zeeland/Holland,

Michigan area.

In December 2010, Gentex purchased a 108,000 sq. foot electronics plant in Holland, Michigan from Ivensys Controls, an

electronics company that produces controls for home appliances.

During an presentation to investors on 1 November 2012, Gentex stated that it has current estimated building capacity to

manufacture approximately 16 18 million interior and six million exterior mirror units annually (based on current mix), adding:

Production line capacity is added as required with each new model year. With the currently announced expansion plans for

construction projects that will be completed by the end of 2012, we estimate that we will then have building capacity for 21 23

million interior and 10 million exterior mirror units. These announced facility expansion plans are not based on any upside as a

result of the Kids Transportation Safety Act/Rear Camera Display mirror legislation.

In October 2012, Gentex said it will invest US$46m at its plants in Zeeland, Michigan, creating 100 jobs.

Customers and contracts

Gentex currently sells its exterior auto-dimming mirror sub-assemblies to exterior mirror suppliers of the automakers who

assemble the exterior auto-dimming mirror sub-assemblies into full mirror units for subsequent resale to the automakers.

The company produced its first auto-dimming mirror for vehicle interior applications in 1982. Since then, Gentex has introduced

exterior auto-dimming rearview mirrors.

Among its customers, Gentex is supplying Audi. For example, the company is supplying its SmartBeam system for the Audi A7. The

A7, a five-door coupe, is sold worldwide. SmartBeam (called Fernlichtassistent in German) is available in the European markets.

Meanwhile, Hyundai Motors has teamed up with Gentex to develop an automatic-dimming rearview mirror that acts as the

interface for Hyundai's new Blue Link technology. The mirror's casing has three buttons that, when pressed, allows the driver to use

voice commands to operate a wide range of navigation, vehicle assistance, entertainment and emergency. The mirror is also


available with a compass display and Johnson Controls' HomeLink system which can be programmed to operate garage doors,

gates, security systems, home lighting, etc. The Blue Link auto-dimming mirror is standard equipment on the Sonata Limited,

amongst other models.

Gentex is also supplying its auto-dimming rearview mirrors for the Opel Astra GTC, Zafira Tourer, and Ampera. The Astra GTC and

Zafira Tourer also offer the SmartBeam high-beam assist system, as standard equipment on the top trim level.

In March 2012, Gentex said it is shipping its SmartBeam DFL for the 2012 BMW 3 Series, available throughout Europe.

In April 2012, Gentex said its SmartBeam system will be available on the 2013 Ford Taurus. The vehicle went on sale in North

America in spring 2012. The Taurus, Ford's flagship sedan, offers SmartBeam on the Limited and SHO models.

In May 2012, Gentex said it is supplying auto-dimming mirrors in conjunction with a camera-based driver-assist system for the

2013 Ford Explorer. The new system uses a multi-function camera combined with algorithmic decision making to perform

automatic high-beam control, lane keeping and driver alert. The system was developed in conjunction with Mobileye.

Gentex is providing a rearview-mirror-integrated display for the 2013 Mazda CX-5 sold in Japan that allows the vehicle to meet

unique Japanese safety requirements while enhancing vehicle styling. Specifically, Gentex is shipping an automatic-dimming

interior mirror with an integrated 3.3-inch liquid crystal display that not only shows the view from the vehicle's backup camera,

but also displays the view along the passenger side of the vehicle from a camera located in the wing mirror. In Japan, vehicle safety

regulations dictate that all vehicles meet what is often referred to as the "one-metre pole" requirement. It states that drivers must

be able to view, either directly or in their mirrors, a one metre tall by 0.3 metre diameter cylinder placed directly in front of or

alongside the passenger side of the vehicle. Often automakers comply with the regulation by using a fender mirror, which attaches

to the vehicle's front fender and helps eliminate the passenger-side blind zone. While fender mirrors do offer a solution, they often

are not a part of the vehicle's initial design, and can look out of place on an otherwise meticulously planned and stylised vehicle.

The 2013 Mazda CX-5 passenger-side monitor and rear camera display are standard equipment on the CX-5 models sold in Japan.

In July 2012, Gentex said it is supplying auto-dimming mirrors with its SmartBeam lighting assist system, as well as auto-dimming

mirrors with a camera-based driver-assist system for both the new 2013 Lincoln MKS full-size premium sedan and 2013 Lincoln

MKT three-row premium crossover.

In summary, Gentex's new programmes in production featuring auto-dimming mirrors for the 2013 model year include:

Chevrolet Cativa Sport

Citroen C4 Aircross

Dodge Dart

Dodge Ram

Ford Taurus

Ford Explorer

Ford Fusion


Honda Ridgeline

Lincoln MKZ

Lincoln MKS

Lincoln MKT

Mazda CX-5

Nissan Note

Peugeot 4008

Toyota Auris

Toyota Avalon

Toyota Corolla

R&D

Gentex employs about 400 research scientists, chemists, electrical and mechanical engineers to improve the function, quality and

performance of its auto-dimming mirrors. Over the past decade, Gentex has turned the auto-dimming rearview mirror into a

strategic electronic module a preferred location for electronic features, displays and driver communication interfaces.

In addition, Gentex has developed its own compass technology dubbed ZZ-Nav-Nav,, which can be sold as a system with the compass

heading displayed in the interior auto-dimming mirror. The technology features the companys proprietary, digital, tri-axis sensor

(transducer) and software. Gentexs tri-axis design is similar to compasses used in aircraft, and can be mounted on any fixed or

pivotal location in the vehicle, including inside the mirror housing.

Gentex says it continues to add features to its auto-dimming mirrors, such as its proprietary SmartBeam and Rear Camera Display

(RCD) Mirror.

Gentexs SmartBeamSmartBeam is a high beam headlamp assist system that the company developed and introduced in the 2005 model

year. Gentex says that its next generation of SmartBeam products will not only automate high- and low-beam switching, but

also will produce continuously variable low-beam patterns, and control "constant ON" high beam systems that require

"next-generation" headlamp hardware currently being developed by various headlamp manufacturers. For these future

systems, says Gentex, SmartBeam generates "block-out" or "glare-free" zones around oncoming and preceding traffic,

allowing light to be cast around surrounding traffic for maximum forward lighting.


Gentexs RRCD mirrCD mirroror consists of a proprietary liquid crystal display device that shows a panoramic video view of objects

behind the vehicle in real time. When reverse gear is selected, the display illuminates and automatically appears through the

rearview mirrors reflective surface to give a clear image. The image is generated by a camera or cameras placed in a

protected area at the rear of the vehicle. When a forward gear is selected, the display automatically disappears. This RCD

mirror is currently offered as original equipment as a stand-alone option on four Ford and Lincoln programmes as well as on

the Kia Mohave for the Korean market.

Gentex RGentex RCD mirrCD mirroror

Ichikoh Industries, Ltd.

Ichikohs rearview mirror range includes exterior mirrors (door-mounted, sail-mounted and fender-mounted) and interior mirrors

(glare-proof, break-away type mirrors). The company still claims a 34 percent share of the rearview mirror market in Japan.

The company designs and produces interior and exterior rearview mirrors for Nissan Motors, Nissan Diesel, Nissan Shatai, Nissan

Altia, Toyota Motor, Toyota Auto Body, Fuji Heavy Industries, Daihatsu, Mazda, Isuzu, Mitsubishi, Hino Motors, Suzuki and Honda.

Headquartered in Tokyo since 1903, Ichikoh Industries has built up a network of subsidiaries and associated companies in Japan

and, increasingly overseas. Outside Japan, Ichikoh established a wholly-owned subsidiary in the US in 1987, a 50/50 joint venture in

Taiwan in 1988, a subsidiary in Malaysia in 1990, a subsidiary in Indonesia in 1997 and a 50/50 joint venture in China in 2003.

In 2001, Ichikoh bolstered its presence in Malaysia through a joint venture with Delloyd Industries to manufacture headlamps and

mirrors. Ichikoh owns 60 percent of this venture, whilst Delloyd owns the remainder. Delloyd is the largest manufacturer of vehicle

mirrors in Malaysia.

In 2005, Ichikoh signed a technical assistance agreement with Fiem Industries Ltd, a major supplier of lamps and rearview mirrors

for motorcycles in India.

In 2006, Ichikoh signed an agreement with Mitsuba Corp to establish a joint venture in the US to produce rearview mirrors. In order

to pave the way to establish the new company, Ichikoh has dissolved its wholly-owned subsidiary, Ichikoh Manufacturing Inc,

which was headquartered in Shellbyville, Kentucky, US. The joint venture, known as Ichikoh Mitsuba Inc, formerly began operation


on 1 February 2007. In May 2010, however, Ichikoh Industries and Mitsuba agreed to dissolve their joint venture in the US. In a

statement, the partners said: Ichikoh and Mitsuba established the joint venture from a strategic point of view. However, in the

wake of environmental changes triggered by the so-called Lehman shock in 2008, Ichikoh and Mitsuba have agreed to a view that

turning business around in the future is impossible. Then, through amicable consultation, the dissolution has been decided.

In 2010, Ficosa and Ichikoh entered into an agreement to create a global alliance in the automotive mirror business. The partners

say the objective of this alliance is to deliver a better service by undertaking joint actions on a global basis. They claim that the

alliance will represent the worlds largest supplier of automotive mirrors. In a statement, the partners said: Ficosa-Ichikoh will

have a leading presence in North America (United States, Mexico and Canada), South America, South Africa and Asia. The

footprint in Asia is considered to be especially important by the alliance given its emerging importance on the world stage, as Asia

is expected to account for 50 percent of the worldwide automotive production in 2014. Ficosa says it will acquire the industrial

operations and businesses of Ichikoh in the US.

Magna International Inc.

Magna Mirrors is a wholly-owned operating unit of Magna International. It offers a variety of exterior and interior mirror systems,

as well as actuators, electrochromic (EC) glass (auto-dimming), and door handle systems through manufacturing divisions and

engineering facilities located in North America (United States and Mexico), Europe (Austria, Germany, France, Spain, Sweden, and

Slovakia), Asia (China, Japan, and India) and South Africa.

Magna Mirrors was formed in June 2002, when Donnelly agreed to become a wholly-owned subsidiary of Magna International.

Magna bought Donnelly for US$320m and assumed debts worth US$95m. The deal added Ford and Opel to Magnas mirror

customer base. Prior to the merger, Magnas interior rearview mirror business was relatively small, with just 4% of the North

American market.

Products

Magna Mirrors is the worlds largest producer of automotive mirror systems and a major supplier of engineered glass systems and

door handles. In addition to Magna Mirrors corporate headquarters and various administrative offices, Magna Mirrors operates

production facilities in North America, Europe and Asia. Magna Mirrors produces some 26m interior and 28m exterior mirrors

annually.

Its interior rearview mirror range and capabilities includes:

Auto-dimming

Telematics


Compass and temperature

Displays

Sensor integration

Bluetooth and hands free conductivity

Navigation

Microphone

Automatic garage door openers

Electronic toll collection

Its exterior rearview mirror line-up includes:

Auto-dimming

Framed and frameless glass

Turn signal lighting

Power extending mirrors

Power folding mirrors

Ground illumination

Integrated blind spot detection

Integrated cameras

Body matched paint

Its camera vision systems include:

Slideout VideoMirror with ReversAid.

Among its product innovations, Magna Mirrors claims a number of industry firsts, including:

Illuminator footlamp it illuminates the ground, offering drivers improved night time security;

PanoramicVision it gives drivers a complete rear view by replacing exterior and interior rearview mirrors with a three-

camera system, which combines the rear and side views into one, unbroken panorama; and


the only auto-dimming electrochromic mirror with a solid core, using the companys Solid Polymer Matrix technology.

Magna Mirrors delivers all of its mirrors as complete, ready-to-install units. Its exterior rearview mirror assemblies combine mirror

glass with electric or manual adjusting mechanisms, wiring harnesses and other hardware. These parts are fitted into the mirror

housing and colour-matched to the vehicle.

Customers

Magna Mirrors customers include:

AvtoVAZ

Beiqui Foton

BMW

Chang'an Auto

Chang'an Suzuki

Chery

Chrysler

Daimler

FAW

Ferrari

Fiat

Ford

GAZ

Geely

General Motors

Great Wall

Harbin Hafei


Hebei Zhongxing

Honda

Hyundai

Jianghuai Auto

Jiangling Motor

Jinbei Brilliance

Lifan

MAN

Maruti Suzuki

Mazda

Mitsubishi

Nanjing Auto

Porsche

PSA Peugeot Citroen

Renault-Nissan

SAIC

SAIC-GM-Wuling

Suzuki

Tata

Toyota

Volkswagen

Volvo Truck

Zotye


Murakami Kaimeido

Japans Kaimeido was founded way back in 1882 as a manufacturer of decorative metal parts. Its first foray in to making mirrors

began in 1897, expanding its business and opening a dedicated mirror plant in 1946. Two years later, the company was

incorporated as Murakami Kaimeido, and expanded its rearview mirror business further by supplying Toyota in the 1950s, adding

Mitsubishi in the 1960s, and Honda, Nissan and other Japanese automakers in the 1970s and 1980s. During the 1990s, Murakami

Kaimeido strengthened its rearview mirror business, opening new factories in Japan and overseas.

Today, Murakami Kaimeido is one of the largest manufacturers of rearview mirrors in Japan. The company employs 2,670 people.

Its international network includes subsidiaries and joint ventures in Thailand, China and the US:

Murakami Ampas (Thailand) CMurakami Ampas (Thailand) Co Ltdo Ltd manufactures rearview mirrors at a 22,889-m site in Amphur Muangsamutprakam, Thailand. This factory employs

366 people.

Murakami Manufacturing (Thailand) CMurakami Manufacturing (Thailand) Co Ltdo Ltd prismatic mirror glass, injection moulding and assembly. Produces some 5m pieces of interior rearview mirrors

annually. This 32,000-m site employs 241 people.

Jiaxing Murakami Ishizaki CJiaxing Murakami Ishizaki Corp orp in December 2002, Murakami Kaimeido entered into a joint venture with Ishizaki Honten to produce automotive rearview

mirrors in China. Murakami holds a 70 percent stake and Ishizaki holding the remaining 30 percent in the production company. Production commenced in

2003 at a 34,007-m factory located in the Jeaxing economic development zone, employing 260 workers.

Murakimi Manufacturing USA IncMurakimi Manufacturing USA Inc this facility in Campbellsville, Kentucky, US covers 12,000-m and manufactures rearview mirrors. It employs 276

workers. The company supplies plastic moulded parts and mirrors to the Japanese transplants as well as Ford, Chrysler and General Motors. Murakami

Kaimeido was involved in a mirror manufacturing joint venture with a company in Michigan from 1989 to 1992, but then withdrew from the US market due

to under-performance. The companys decision to establish operations in the US was said to have been prompted by the increasing globalisation of

production.

Murakami Kaimeido is organised into three divisions:

Mirror Systems;

Opto-Electronics; and

Building Materials.

The companys mirror systems division product line-up includes:

Hydrophilic clear mirror

Electrochromic mirror

Aspheric mirror

Power folding unit

Actuator


Super heater

Door mirror with foot light

Auto retractable mirror controller

Door mirror with turn lamp

Door mirror with side camera

Reverse gear combination mirror controller

Low stress mirror with indicator

Hydrophilic exterior rearview mirrors are coated with two layers of chemicals (titania and silica) to disperse raindrops, thereby

improving visibility. Murakami Kaimeido supplies hydrophilic clear mirrors, either as standard fitment or optional, to a number of

vehicle makers, including: Toyota, Nissan, Mitsubishi, Honda, Daihatsu and Suzuki.

SL Corporation

Established in 1956, SL Corporation develops and manufactures a range of products, including automotive lighting systems, chassis

parts, rearview mirrors and electronic parts.

Headquartered in Gyeongbuk, Korea, SL Corp operates 11 factories and an R&D centre in Korea and eight factories and three R&D

centres overseas. It manufactures rearview mirrors in Korea (SL Mirrortec).

SL Corp recently revealed deatils of its driver assistance technology that helps the driver during parking maneuvers. Its so-called

AVM (Around View Monitoring) system can check parking distance to the line, parking space and other vehicles through the use of

four cameras on all side of the vehicle. The supplier claims that its AVM has more colour reproducibility and image quality than its

competitors. The system can support both analogue and digital video output and offers 2D and 3D view mode for driver

convenience.

SL Corp has also recently developed a rearview monitoring system that provides both top view and rearview using a rearview

camera. The supplier points out that its system should enable drivers to park with ease because it shows two views

simultaneously.


Samvardhana Motherson Group

Samvardhana Motherson Group (SMG) develops and manufacturers rear vision systems for the automotive industry. It is one of

the largest manufacturers or exterior rearview mirrors for passenger cars in the world. In addition to exterior rearview mirrors, the

group supplies interior mirrors and blind spot detection systems for all passenger vehicle segments to nearly every vehicle maker in

North America, Europe, Asia and Australia.

SMGs customers include:

Audi

Alfa Romeo

Aston Martin

Bentley

BMW

Buick

Cadillac

Chevrolet

Chrysler

Citroen

Daewoo

Dodge

Ferrari

Fiat

Ford

GMC

Holden

Hyundai


Isuzu

Jaguar

Jeep

Kia

Lamborghini

Lancia

Land Rover

Lincoln

Mahindra & Mahindra

Maserati

Maybach

Mazda

McLaren

Mercedes-Benz

Mini

Mitsubishi

Nissan

Opel

Peugeot

Pontiac

Porsche

Renault

Rolls Royce


Saab

Saturn

Seat

Skoda

Smart

Ssangyong

Suzuki

Tata

Toyota

Volkswagen

Volvo

SMGs exterior rearview mirrors range from basic mirrors with manual mirror adjustment to higher value-added mirrors with

multiple integrated features such as turn signals, auto-dimming glass, temperature sensors and camera-based blind spot detection

systems. Its interiors rearview mirrors range from basic prismatic mirrors to higher value-added mirrors with multiple features

including automatic dimming glass, microphone arrays for hands-free mobile phone operation, garage door openers, map lights

and data displays.

SMG Automotive is in the process of building a second manufacturing facility in Mosonmagyarvr, Hungary. The 10,000-m plant

will fall under the auspices of SMR Automotive Mirror Technology Hungary. It will manufacture rearview mirrors for passenger cars

for European vehicle makers. On completion, the new plant effectively doubles the capacity of SMR Hungary. SMR Hungarys R&D

centre is currently located in the Gyr. The company is planning to transfer its R&D centre to Mosonmagyarvr and also

strengthen R&D capacities to cater for specific market demands.

In 2011, Moherson Sumi Systems Ltd acquired an 80% stake in Germany's Peguform Group for EUR141.5m. Motherson Sumi

acquired the stake through a special company in which it holds a 51% stake while group firm Samvardhana Motherson Finance Ltd

holds the remainder. Motherson bought the stake from Austria's Cross Industries AG, which continues to hold 20% of Peguform.

The Peguform deal followed the firm's acquisition of Visiocorp, the UK based manufacturer of rear-view mirrors, in 2009,

cementing its presence in Europe. Gaining control of Peguform has given SMG a significant foothold in business with Volkswagen,

BMW and Daimler.

In May 2013, SMR said it is expanding its Marysville, Michigan, SMR Automotive Systems USA plant. The company will invest

US$40m in a 30,000 square foot expansion that is expected to result in the creation of around 350 jobs during the next three

years. Plans for the Marysville expansion include the addition of a new paint line doubling current capacity, additional office space,


and new moulding equipment. SMR is also scheduled to acquire a 100,000-square-foot building in the City of Port Huron to serve

its warehousing and distribution needs. The investment will see SMR almost double its capacities to produce rearview mirrors for

the North American automotive industry.

Others

Mirror Controls International

Mirror Controls International (MCI) designs, develops and manufactures electric mirror adjusting actuators and electric power-

folding mirror actuators for passenger cars and SUVs. These products are sold to mirror manufacturers. The company produces

some 40m units annually, making it one of the largest independent manufacturers of actuators in the world.

Headquartered in Woerden, Netherlands, MCI operates three factories located in Ireland (Manorhamilton), Mexico (Reynosa) and

China. Its factory in China (Suzhou) opened in 2009. Its Irish factory serves BMW, Ford, Jaguar, Rolls Royce and Volkswagen.

Markets

The two largest manufacturers of rearview mirrors worldwide in 2012 were SMR Automotive and US-based Magna Mirrors.

Collectively these two manufacturers controlled over half the combined market for interior and exterior rearview mirrors in

Europe, North America, and the Asia-Pacific region (which includes Japan, South Korea, China and Australia) while about 30% was

held by Ficosa, Murakami and Ichikoh.

WherWhere is the sector heading?e is the sector heading?

Rearview mirrors are being transformed into a high tech hub of automotive electronics. Given that a driver typically looks at the

interior mirror once every 15 seconds, it would seem the ideal location to display a variety of information. On balance, we see a

number of trends and drivers shaping this sector, including:

Increasing fitment of auto-dimming mirrors in lower segment vehicles. For example, we estimate that interior auto-dimming

mirrors were fitted on 20.6% of all new passenger cars and light vehicles in 2012. That proportion could exceed 27% by

2022.

Increasing integration of fog sensing/signalling modules, gas sensing, occupant sensing, sign detection, and pedestrian

detection.

While more and more features are being packed into rearview mirrors, embedded camera technology is developing quickly.

As the electronic content per vehicle rises year on year, packaging designers are struggling to integrate new features,

displays, sensors and driver communication interfaces.


New electronic features can be located in four main areas: the instrument panel, overhead console, centre console or mirror.

Rear camera display functionality is becoming popular, too. In the US, a NHTSA rule could force the increased use of rearview

cameras. While the US Department of Transport and NHTSA are backing the ruling, some automakers are concerned about

the cost of installing such cameras. Yet other automakers such as Ford and Honda are already pushing ahead.

In some countries, narrow streets and dense traffic have led to the increased fitment of power-folding mirrors. We are seeing

adoption rates gradually increasing worldwide as power-folding spec provides a luxurious image to motorists.

Auto-dimming rearview mirrors

Gentex continues to lead the global auto-dimming mirror market, supplying to most of the major automakers, giving it an 86%

share of the market in 2012.

Over the past two years, Gentexs has announced a number of new programmes featuring auto-dimming mirrors, including:

2011 model year:

Toyota Sienna (C), (J), (K)

Toyota Avalon (B), (D), (E), (J), (L)

Ford Explorer (A)

Ford Escape (B), (E), (L)

Ford F-250 SuperDuty (A), (L)

Subaru Outback (C), (L)

Volvo S60 (A), (B)

Volvo V60 (A), (B)

Renault Latitude (A)

Audi A3 (A), (B), (J), (K)

Audi A6 (A), (B), (J), (K)

Audi A7 (A, J, K)

Audi A8 (A), (B), (J), (K)

Audi Q5 (A), (B), (J), (K)

Audi R8 (A), (B), (J), (K)

Audi TT (A), (B), (J), (K)

Citroen C4 (A)

Citroen DS4 (A)

Peugeot 508 (A), (K)

Volkswagen Jetta Sportswagen (A), (K)

Volkswagen Passat (A), (J), (K)

Volkswagen Passat CC (A), (J), (K)

Volkswagen Scirocco (A), (K)

Volkswagen Sharan (A), (J), (K)

Volkswagen Touran (A), (J), (K)

BMW X3 (A), (D), (J), (K)


SEAT Alhambra (A), (K)

Cadillac CTS Coupe (A), (L), (M)

Volkswagen Eos (A), (J), (K)

Volkswagen Golf (A), (B), (J), (K)

Volkswagen Jetta (A), (K)

Hyundai Tucson/ix35 (L)

Hyundai Santa Fe (L)

Hyundai ix 20 (L)

Hyundai Accent (L)

Kia Carens (L)

Kia Grand Carnival/Sedona (L)

Kia Venga (L)

Kia K7 (L)

Kia K5 (L)

Toyota Avensis (A), (L)

Lexus CT 200h (A), (B), (L)

Nissan X-Trail (L)

Dodge Durango (E), (J), (K)

Dodge Charger (E), (K)

Nissan Leaf (A), (D)

Nissan NV (C), (L)

Hyundai Sonata (C), (L)

2012 model year

Opel/Vauxhall Astra GTC (A), (K)

Opel/Vauxhall Zafira Tourer (A), (K)

Opel Ampera (A)

Range Rover Evoque (A), (D), (K)

BMW 3 Series (A), (C), (J), (K), (N)

2013 model year

Ford Taurus (A), (K)

Ford Explorer (A), (L), (O)

Mazda CX-5 (D), (L)

A = auto-dimming interior base feature mirror

B = auto-dimming interior mirror with compass

C = auto-dimming interior mirror with compass display & universal garage door opener

D = auto-dimming interior mirror with universal garage door opener

E = auto-dimming interior mirror with Gentex's proprietary integrated, hands-free microphone

F = auto-dimming interior mirror with compass/outside temp display & universal garage door opener

G = auto-dimming interior mirror with rear camera display & Gentex Z-Nav compass transducer

H = auto-dimming interior base feature mirror with Gentex Z-Nav compass transducer

I = auto-dimming interior mirror with rear camera display & Gentex microphone


J = auto-dimming exterior mirrors

K = auto-dimming interior mirror with SmartBeam

L = auto-dimming interior mirror with Rear Camera Display

M = auto-dimming interior mirror with telematics

N = auto-dimming interior mirror with SmartBeam Dynamic Forward Lighting

O = auto-dimming interior mirror with high beam assist, lane departure warning

Magna Mirrors (formerly known as MagnaDonnelly) follows with a 12% share in 2012. Magna Mirrors supplies a number of vehicle

models with its hybrid or solid polymer matrix versions of electrochromic mirrors. Its customers include Acura/Honda, BMW,

Chrysler dodge, Citron , Ford Lincoln, General Motors, Hyundai/Kia, Nissan (aftermarket), Peugeot, Porsche, Renault Samsung,

Subaru, Tokai Rika and Volvo.

Although Gentex dominates the market, Magna Mirrors size and resources is a potential threat to Gentex. In a statement set out

within a securities filing, Gentex stated: We recognize that Magna Mirrors, our main competitor and a wholly-owned subsidiary of

Magna International, is considerably larger than we are and may present a more formidable competitive threat in the future. Our

future growth and success will depend on the ability to compete in our highly competitive markets.

In referring to competing suppliers in the automotive mirror market, Gentex added: While [we] believe [we] will retain a dominant

position in auto-dimming rearview mirrors for some time, one other U.S. manufacturer (Magna Mirrors) is competing for sales to

domestic and foreign vehicle manufacturers and is supplying a number of domestic and foreign vehicle models with its hybrid or

solid polymer matrix versions of electrochromic mirrors. In addition, two Japanese manufacturers are currently supplying a few

vehicle models in Japan with solid-state electrochromic mirrors. There are a small number of Chinese domestic mirror suppliers

that are marketing and selling auto-dimming rearview mirrors, in low volume, within the domestic China automotive market.

However, [we] believe that these Chinese domestic mirror suppliers do not currently meet global automotive grade specifications.

Meanwhile, Tokai Rika supplies exterior auto-dimming rearview mirrors to Toyota (including Lexus) and Murakami Kaimeido

supplies auto-dimming mirrors to Mitsubishi.

As noted above, there are a small number of Chinese domestic mirror suppliers that are marketing and selling auto-dimming

rearview mirrors, in low volume, within the domestic China automotive market.

There are a number of other companies in the world conducting research on various technologies, including eletrochromics, for

controlling light transmission and reflection. Yet Gentex argues that the electrochromic materials and manufacturing process it

uses for automotive mirrors remains the most efficient and cost-effective way to produce such products. While automatic-

dimming mirrors using other technologies may eliminate glare, Gentex believes that each of these technologies have inherent cost

or performance limitations as compared to its technologies. For the foreseeable future, therefore, Gentex will continue to

dominate this lucrative market.

Intentional page brIntentional page break to accommodate the table which follows.eak to accommodate the table which follows.


Global manufacturer market shares for auto-dimming mirrors, 2001-2012 (% of volume)

CCompanompanyy 20012001 20022002 20032003 20042004 20052005 20062006 20072007 20082008 20092009 20102010 20112011 20122012

Gentex 80 78 77 78 79 80 83 83 83 84 85 86

MagnaDonnelly 16 17 18 19 18 17 14 14 14 14 13 12

Tokai Rika 3 3 3 2 2 2 2 2 2 1 1 1

Murakami Kaimeido 1 2 2 1 1 1 1 1 1 1 1 1

Total 100 100 100 100 100 100 100 100 100 100 100 100

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Market shares

Exterior rearview mirrors

Asia-Pacific

In 2012, the Asia-Pacific market for exterior rearview mirrors was led by Murakami-Kaimeido with a 23% share closely followed by

Ficosa-Ichikoh, SMR Automotive and Magna.



Asia-Pacific manufacturer automotive exterior rearview mirror market shares, 2010-2012, % of volume

CCompanompanyy 20102010 20112011 20122012 Latest yLatest yearear-on-y-on-year % changeear % change

Murakami-Kaimeido 22 22 23 5%

Ficosa-Ichikoh 15 18 21 17%

SMR Automotive 17 17 18 6%

Magna 11 12 13 8%

Others 35 31 25 -19%

Total 100 100 100

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In the South Korean market, the major manufacturers include SL Corporation, SMR Automotive and local producer Wooyong. SL

Corp estimates it has a 40% share of the South Korean mirrors market.

Meanwhile, Western manufacturers are investing in the Chinese mirror market. In early 2008, Magna International unit Magna

Electronics made two acquisitions: Troy, Michigan-based Allied Transportation Technology, which makes ultrasonic sensing

systems used for parking assistance and back-up object detection, and the Zhangjiagang Suxing Electronics facility located in

Zhangjiagang, China. The acquisition of Allied will provide [us] with enhanced technology and products that will complement our

strong line of existing driver assistance systems, said Francois Truc, vice president and general manager of Magna Electronics

North America and Asia. The new facility in China, which will be renamed Magna Electronics Suxing, will complement the units

existing electronics product lines with products such as body control modules for China and other markets. The acquisition of the

Suxing Electronics facility and the integration of its operation into Magna Electronics creates a unique position for us to deliver

new technologies to the Chinese market, said Truc. Magna Electronics product lines include reverse park-assist cameras, interior

mirror electronics, lane departure warning systems, intelligent headlamp controls, in-dash computers, interior and exterior lighting

products, plus body electronics, power and powertrain controllers.

In July 2008, Visiocorp (now SMR Automotive) opened a new 50/50 joint venture facility in Xizhou, China (south of Shanghai, near

Ningbo). Developed with partner Ningbo Huaxiang (NBHX), Ningbo Huaxiang Automotive Mirror Co Ltd manufactures exterior

mirrors, fuel filler modules and other parts. The partners have invested some EUR10m in the 15,000-m facility, creating 100 jobs.

NBHX was established in 1988 and is one of Chinas largest privately-owned limited companies. The 15 NBHX production plants

supply a variety of exterior and interior parts to Chinese automakers.

Europe

SMR Automotive led the European exterior rearview mirror market in 2012 with a 29% share followed by Magna and Ficosa with a

26% share each. The rest are mostly imports from Asia. An auto executive told us: The others are local national competitors. They

might include some Japanese and Korean companies who need to localise their supply to their transplant customers.



European manufacturer automotive exterior rearview mirror market shares, 2010-2012, % of volume


SMR Automotive 30 30 29 -3%

Magna 25 26 26 0%

Ficosa 23 25 26 4%

Others 22 19 19 0%

Total 100 100 100

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North America

In 2012, the North American market for exterior rearview mirrors was led by Magna with a 31% share followed by Ficosa-Ichikoh,

SMR Automotive and Murakami-Kaimeido.

In 2008, Ficosa acquired Delbar Products Inc. Delbar produces automotive rearview mirrors. The company was founded in 1947

and is based in Perkasie, Pennsylvania, US. Since 15 April 2008, Delbar Products Inc has been operating as a subsidiary of Ficosa

North America Corp. In 2010, Ficosa and Ichikoh created a global alliance in the automotive mirror business thereby increasing its

market share in North America. In 2011, Ficosa acquired US-based rearview mirror manufacturer, Camryn thereby further

strengthening its market position in North America.

In 2007, Eaton Corp sold its mirror controls division to funds managed by Englefield Capital, to private equity firm for US$111m.

Eatons mirror controls division is part of the companys automotive group, employs approximately 630 people and has four

manufacturing operations. The business produces mirror actuators and power-fold actuators for exterior automotive mirror

systems.



North American manufacturer automotive exterior rearview mirror market shares, 2010-2012, % of volume


Magna 30 30 31 3%

Ficosa-Ichikoh 18 28 30 7%

SMR Automotive 21 21 20 -5%

Murakami-Kaimeido 6 6 6 0%

Others 25 15 13 -13%

Total 100 100

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Interior rearview mirrors

On the global stage, Magna Mirrors and Gentex dominate the market for interior rearview mirrors. Both supply value-added

mirrors with multiple options. Gentex supplies electrochromic glass for both interior and exterior rearview mirrors. Magna Mirrors

has a significant share of the worlds basic prismatic interior mirror market. Gentex claims an 86% share of the global auto-

dimming rearview mirror market, followed by Magna Mirrors with 13% and others 1%.

Gentex is currently shipping interior auto-dimming mirrors that are standard equipment or factory-installed options on certain

trim levels to the following manufacturers:

BMW

-BMW

-Rolls Royce

Chrysler

-Chrysler

-Dodge

-Jeep

Daimler

-Mercedes-Benz

Fiat

-Alfa Romeo

-Fiat

-Lancia

-Maserati

Fisker

Ford

-Ford

-Lincoln

Geely

-Volvo

General Motors

-Buick

-Cadillac

-Chevrolet

-Daewoo

-GMC

-Opel

Honda

-Acura

-Honda

Hongqi

Hyundai

-Hyundai


-Kia

Mazda

Mitsubishi

Nissan

-Infiniti

-Nissan

Porsche

PSA

-Citroen

-Peugeot

Renault

-Renault

-Samsung

SAIC

-MG

-Roewe

-Ssangyong

Subaru

Suzuki

Tata

-Jaguar

-Land Rover

Toyota

-Daihatsu

-Lexus

-Toyota

Volkswagen

-Audi

-Bentley

-SEAT

-Skoda

-Volkswagen

Europe

The big three European interior rearview mirror manufacturers collectively controlled the market in 2012. Ficosa has significant

business with Ford of Europe, producing products from its plant in India thereby enabling it to become increasingly competitive.



European manufacturer automotive interior rearview mirror market shares, 2010-2012, % of volume


Magna 30 30 31 3%

SMR Automotive 29 30 30 0%

Ficosa 17 19 20 5%

Others 24 21 19 -10%

Total 100 100 100

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Emerging markets

Brazil

In 2010, Magna International was awarded new mirror business with global automakers in Brazil.

Hungary

In 2011, SMR Automotive opened a second manufacturing facility in Mosonmagyarvr, Hungary to manufacture rearview mirrors

for European carmakers and their subsidiaries in the region. The site enabled SMR Hungary to double its production capacity.

Technologies

Defining the elements

Exterior and interior rearview mirrors vary in complexity but typically consist of a plastic casing, a support structure that joins the

mirror to the vehicle, a piece of mirror glass, electric motors (known as actuators) that are used to adjust the mirror and,

increasingly, to operate power-folding mechanisms in exterior mirrors, and wire harnesses and other parts. Mirror cases are

typically made from injection-moulded plastic.

Interior rearview mirror

A feature-packed interior rearview mirror could include auto-dimming glass, reading and ambient lights, garage door openers,

memory functions, time displays, humidity and temperature sensors, microphone arrays for hands-free mobile phone operation,

emergency call buttons, map lights and telematics systems. Rearview mirror cases are made from injection moulded plastic.

The exposed components are most often painted to match the colour of the vehicle or a chrome finish is applied. Some mirrors

have die-cast aluminium parts such as stems and support structures which are attached to the mirrors during the assembly

process.

SL CSL Corp rorp rearview mirrearview mirroror


Exterior rearview mirrors

An exterior rearview mirror packed with electronic features may include auto-dimming glass, electric mirror adjustment with

memory function, electric power-fold, heated glass, integrated turn signals and approach lights.

According to the National Highway Traffic Safety Administration (NHTSA), aspheric exterior rearview mirrors are mirrors that

contain a spherical inner portion and an (aspheric) outer portion with a decreasing radius of curvature. A vertical delineator

separates the two portions. This type of mirror is intended to provide a wider field of view so that blind spots are minimised or

eliminated. The mirrors are in common use in Europe, but not in the US, which specifically requires a flat mirror on the driver side

for light vehicles. There is current concern in the US that a flat mirror on the driver side of the vehicle appears to create a blind spot

that is large enough to hide a vehicle. The NHTSA is currently carrying out research into the use of aspheric mirrors on the driver

side.

Exterior rearview mirrors are combined with automatic or manual adjusting mechanisms, wire harnesses and other hardware

within an injection-moulded, colour-matched housing and are more complex than base interior rearview mirrors.

Given that European vehiclemakers use a mixture of aspheric and flat glass on their outside mirrors, this adds to the cost of

producing auto-dimming mirrors. North American vehiclemakers must comply with federal legislation requiring flat glass on the

driver side mirror and convex glass on the passenger side.

The average per vehicle sales price of exterior mirrors substantially exceeds that of interior rearview mirrors due to the greater

complexity of exterior rearview mirrors and the fact that almost all new vehicles are equipped with two exterior rearview mirrors.

Exterior rearview mirrors typically feature automatic or manual adjusting mechanisms, wire harnesses and other hardware within

an injection-moulded, colour-matched housing.

An auto executive told us: The power folding mirror market is still growing in Europe. In fact, it is exceeding our expectations. I

would say that it has increased by more than 100% compared to three years ago. At this moment, we are strongly investing to

increase our capacity to meet demand.


Auto-dimming rearview mirrors

As far as auto-dimming mirrors are concerned, exterior auto-dimming mirrors are controlled by the sensors and electronic circuitry

in the interior auto-dimming mirror, and both the interior and exterior mirrors dim simultaneously.

A typical auto-dimming mirror is comprised of some 250 individual electronic parts. There are basically five key parts, as follows:

Plastic case/housing;

Display shows information such as outside temperature, vehicle compass heading, etc;

Circuit board houses light sensors, microprocessor and related electronics necessary to control the auto-dimming function

and other features;

Glass element two pieces of glass coated with reflective and conductive coatings filled with electrochromic gel. This gel in

the glass element darkens in proportion to the amount of glare when an electric current is applied;

Plastic bezel encasing the glass element and incorporating driver interface buttons.

Technical trends

Rearview mirrors are being transformed into a high tech hub of automotive electronics. For its part, Ficosa is developing is a

multiplex solution in order to reduce the amount of power required in the mirror. We are also dedicated to installing antennae in

mirrors for AM, FM, telephone, digital television, digital audio broadcasting and GPS, said Vicen Aguilera, managing director of

Ficosa Technology. The trend in the automotive business is that cars look nicer without antennae. So we are putting more and

more antennae in the mirrors. In addition, we are putting cameras on the mirrors for driver assistance. We are also using some

additional functions like day running light with LEDs.


Martin Klbel, senior key account manager for Flabeg Holding GmbH agrees with these observations and anticipates that camera

systems or radar systems for blind spot detection will become a standard. Antennae will be integrated because car designers do

not like the standard roof top antenna, he told just-auto.

Flabeg has introduced a flat-aspheric mirror to the US market. It consists of an inner flat area that shows the field of view -- as

requested by regulations -- and an outer area that is bent aspherically to eliminate the blind spot. The aspheric curve was chosen

for the European market, says Klbel. Up to now, the combination of a flat and bent part in a single piece mirror was not possible.

The advantages of this mirror against an additional spotter mirrors are the compatibility with standard backing plates and heaters.

Also, the price is lower. We are also trying to penetrate the market with GControl, our low glare mirror. It reduces glare at night

significantly.

The popularity of other rearview mirror features continues to grow. For instance, LED turn signals have quickly entered the vehicle

market with no signs of slowing-up as Aguilera told just-auto: All car manufacturers are trying to put some design personality in

the turn signal on the mirror. And there is no doubt that you can reach much better styling during the night using LEDs. It's also

more expensive because you need more electronics. However, the medium and premium cars will go toward LED solutions while

the low cost cars will retain the bulb as a cheap solution. I think we'll see 50% of cars with LED [turn signals] by 2014 and the rest

fitted with bulbs.

Meanwhile, Gentex has had some success in selling its so-called SmartBeam, a high beam headlamp assist system which

automatically turns vehicle high beams on and off according to surrounding traffic conditions. SmartBeam was debuted in the US

in the 2005 model year and in Europe the following year.

Since then, some carmakers have adopted vehicle speed, yaw and pitch as well as steering sensors to control headlamp patterns

and the direction the beams are pointing. Beyond the automatic dipping of the main beams, how close are we to seeing the

application of the more advanced SmartBeam VFL variable forward lighting and DFL dynamic lighting systems? Connie Hamblin,

corporate secretary and vice president, investor relations and corporate communications, told just-auto: We currently expect that

we should be able to announce new programmes for VFL in the next year or so, and the DFL should follow within a year of that.

The adoption of VFL is contingent upon the adoption rates of newer headlamp technology, such as LEDs. We also expect that we

will be able to announce initial programmes for other camera-based driver-assist features, such as lane departure warning, collision

avoidance, etc., over the next two to three years.

Electrochromic (auto-dimming) glass is a good application for rearview mirrors, and Gentex has broadened its product line to

supply dimmable windows to Boeing for commercial airliners. So could the technology ever catch-on for, say, automotive roof

glass? The technology could catch on for automotive roof glass, adds Hamblin, but it would likely be in very low volume,

primarily due to the cost. We have been asked to make prototype electrochromic sunroofs for very expensive concept cars, but we

work to stay focused on our core products and business. Gentexs business model is built around the company developing high

tech products that consumers want, providing them in high volume at a low cost to the customer.

As far as Gentexs ambitions for dimmable windows for architectural applications are concerned, Hamblin concludes: We believe

that applications for architectural glass are still a number of years out, since there are a number of hurdles that still need to be

overcome. The primary issue for all of the technologies out there is cost/square foot versus the expected payoff in energy savings.

We continue to work to develop products in this area, and have the added benefit that improvements in the chemistry for the

dimmable windows are applicable to the chemistry that we use for our auto-dimming mirror products.


Rearview mirror integrated antennae trends

In outlining certain trends in exterior rearview mirror design, Ficosa points out the trend for integrated antennae. The company

states: Vehicle manufacturers tend to integrate all modern communication services into their vehicles. This requires a certain

number of antennae to support these services. On the other hand, they put the requirement that the antennae should not

influence the design and aesthetics of the vehicle, they should be as compact as possible and not visible. Such antennae includes

those for radio, DAB, TV, satellite radio and GPS. A typical antenna system involves a roof top wire and/or on-glass designs (rear

window, windshield nnd side windows). However, such designs can influence the vehicles aesthetics and must be customised for

each car platform. Ficosas solution is to integrate such antennae into the exterior rearview mirrors. Ficosa claims that its in-

mirror antennae demonstrate a number of advantages, including:

No visual impact on the vehicle design

Modular and integrated solution

Cost effective solution. The vehicle maker can reduce the assembly time at the manufacturing plant by integrating the

antennae and mirror into one package.

Only one antenna for all car models (independent of the car body and roof shape).

Weight reduction of the vehicle mainly due to coaxial cable length reduction

CO2 reduction

Only one supplier for both antennae and rearview mirrors.

Ficosa is supplying rearview mirrors with built-in fractal antennae for the VW Caddy. The rearview mirrors with built-in antennas

for the Caddy model were developed by the engineering teams in both the commercial vehicle and advanced communications

business units of Ficosa. The company manufactures them in Germany and supplies them to the VW plant in Poznan, Poland.

Ficosa has incorporated active antennas including amplifier into the Caddy models rearview mirrors for radio (AM/FM1 and

FM2), digital radio, telephone services (GSM900 and DCS 1800) and GPS.

During an interview with just-auto, Vicen Aguilera, managing director of Ficosa Technology about the companys rearview mirror

systems, explained how rearview mirrors are being transformed into a high tech hub of automotive electronics. He said: On

exterior mirrors, one of the areas we are developing is a multiplex solution in order to reduce the amount of power required in the

mirror. We are also dedicated to installing antennae in mirrors for AM, FM, telephone, digital television, digital audio broadcasting,

GPS, etc. The trend in the automotive business is that cars look nicer without antennae. So we are putting more and more

antennae in the mirrors. In addition, we are putting cameras on the mirrors for driver assistance. We are also using some additional

functions like day running light with LEDs.


Telescopic trailer tow mirrors

Telescopic trailer tow mirrors are one of the fastest growing truck accessories today. They offer good side and rear visibility and

increased convenience when towing any type of load. For example, the Ford Super Duty truck is equipped with a power folding and

telescoping exterior trailer-tow mirror. It was developed by Visiocorp (now known as SMR Automotive). This mirror includes both

power folding and power telescoping features as well as electrically adjustable and heated main glass, large adjustable spotter,

turn signals, side markers and memory position system.

Power folding passenger vehicle mirrors are relatively common, but a power fold system for a large truck mirror had never been

developed before, said Gary Ghent, executive vice president, global sales and marketing for Visiocorp. We conducted extensive

market research with OEMs and drivers to gage the level of interest in this type of feature. Our market research overwhelmingly

confirmed that drivers wanted power folding truck mirrors with convenient operation. We presented the research to Ford. Ford was

very interested in the research because it presented an opportunity to develop and offer a revolutionary feature that would make

the Super Duty truck unique, increase its worth and be useful to the driver.

Visiocorps power-fold design contains two power fold units each, one in each arm. Each unit can provide up to 13Nm (9.6lb.f)

torque to lock the mirror head in position and ensure a stiff structure. Each unit incorporates a clutch system that allows manual

folding of the mirror head. A feature unique to the design is the park detent that ensures the mirror head stays put in the parked

position, even after being manually folded.

Recent innovations

Chrysler's Rear Cross Path and Blind Spot Monitoringsystems

Chrysler is offering a so-called Rear Cross Path and blind spot monitoring system which is similar to Fords, warning drivers who are

backing out of parking spaces of traffic moving toward their vehicle, but outside the drivers field of vision.

Drivers are notified of vehicle(s) crossing behind their vehicle via an illuminated icon on the sideview mirror, and with an audible

chime. Rear Cross Path operates any time the vehicle is in reverse and is available on the Chrysler Town & Country and Dodge

Grand Caravan. The automakers blind spot monitoring system helps drivers when changing lanes if being passed by vehicles or

when vehicles are positioned in the blind spot zone. Drivers are notified of a potential hazard via an illuminated icon on the

sideview mirror, and if the turn signal is operated, an audible chime can act as an additional warning. Blind Spot Monitoring which

uses dual ultra-wideband radar sensors is active any time the vehicle is moving forward.


Ford's cross traffic alert and blind spot mirror

In 2009, Ford introduced two new safety features in the US to aid drivers visibility: blind spot mirror and the cross traffic alert with

blind spot monitoring system. The system features an integrated convex spotter mirror aimed directly at the vehicles blind spot.

The cross traffic alert with blind spot monitoring system uses radar to alert the presence of cross-path traffic while in reverse and,

in forward gears, warn when a vehicle enters the blind spot.

The traffic alert with blind spot monitor is a radar-based blind spot detection system with the additional capability to help drivers

reverse out of a parking space with confidence even when there is traffic approaching from the sides.

Fords push to develop the blind spot mirror for its line-up is a direct response to customer research, claimed Kelly Kohlstrand with

the automakers advanced product marketing and technology planning team. We seek to plan new features that address unmet

customer needs, said Kohlstrand. Customers told us that visibility is important to them and that they specifically desired a more

effective outside rearview mirror. The cross traffic alert feature works in conjunction with the radar-based blind spot monitoring

system using the systems two multiple beam radar modules, which are packaged in the rear quarter panels one per side. The

radar identifies when a vehicle enters the defined blind spot zone and illuminates an indicator light on the corresponding sideview

mirror, providing a warning that a vehicle is approaching. Cross traffic alert uses the radar when in reverse to pick up moving

objects within a 65ft range from either the left or right side of the vehicle. The radar also works when backing out of angled

parking spaces because its view is wider than just strictly sensing traffic coming at a 90 angle. Conventional systems have limited

sideways effectiveness, Ford said. When cross traffic is approaching, two warnings are given: an indicator lights up in the

corresponding outside mirror and an audible alert is sounded.

Fords blind spot mirror

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Fords cross traffic alert with blind spot monitoring system

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Ford

Ford's acoustic mirrors

The Ford Escape features an elliptical acoustic mirror to reduce wind noise and deliver a quieter interior. The mirror resembles a

satellite dish with a microphone. The mirror identifies "hot spots" where noise penetrates the interior of the vehicle, allowing

drivers to listen to music or conversation inside the car instead of external noises.

This technology is deployed more commonly by European luxury vehicle manufacturers and is considered a breakthrough among

US manufacturers. The mirror measures noises on the surface of the vehicle and in the airflow.

The engineering team was able to make changes to the Escape shape, specifically the mirrors and A-pillar, while in the early clay

model phase to test theories and validate expected results. Work was done in the Ford Aeroacoustic Wind Tunnel in Germany.

"We previously didn't have this tool available," said Peter Kleesattel, interior quietness development engineer. "Essentially we were

able to optimise the shape earlier. In noise and vibration, the basic idea is you have noise sources outside the vehicle and you have

the path.

"The path could be through the glass, door or insulation. Now we're able to optimise the shape early on, reduce the exterior source

and create a quieter interior."

The optimised shape means the new Escape is quieter than the outgoing vehicle, and preliminary data show it will be among the

leaders in interior quietness. In particular, the tuning work on the A-pillar helps ensure better noise performance in crosswind

situations.

Wind noise performance has been optimised through more than 160 hours of engineering. In a typical eight-hour block, more than

20 configurations can be tested, including glass, mirror sealing and door sealing.

"Using the elliptical acoustic mirror helped the team pinpoint the source of the noise," said Bill Gulker, NVH supervisor. "Previous

technologies required more of a trial-and-error approach to finding the issue."

The science behind acoustic mirrors dates back almost 100 years. The technology was a precursor to radar, used for "listening" for

and detecting enemy aircraft along the coast of Great Britain during World War I.


Magna Mirrors' Blind Zone Mirror wins award

Magna Mirrors has developed a so-called Blind Zone Mirror. This exterior rearview mirrors integrates a wide-angle auxillary mirror

into the main mirror. The auxillary mirror reduces the side blind zone, where passing vehicles are typically outside the drivers field

of view. The company points out that the transition from the main mirror to the wide-angle auxillary mirror is seamless.

Drexel Univerity's solution to eliminating the blindspot

Researchers at Drexel University in Philadelphia, US have received a US patent for a wing mirror that eliminates the blind spot. Led

by Dr Andrew Hicks, the research team claim that their curved mirror dramatically increases the field of view with minimal

distortion.

Traditional flat mirrors on the drivers side of a vehicle give drivers an accurate sense of the distance of cars behind them but have a

very narrow field of view. As a result, there is a region of space behind the car, known as the blind spot, that drivers cant see via

either the side or rear-view mirror. It's not hard to make a curved mirror that gives a wider field of view no blind spot but at the

cost of visual distortion and making objects appear smaller and farther away.

Hicks drivers side mirror has a field of view of about 45 degrees, compared to 15 to 17 degrees of view in a flat drivers side mirror.

Unlike in simple curved mirrors that can squash the perceived shape of objects and make straight lines appear curved, in the

universitys mirror the visual distortions of shapes and straight lines are barely detectable.

Hicks designed his mirror using a mathematical algorithm that precisely controls the angle of light bouncing off of the curving

mirror. Imagine that the mirrors surface is made of many smaller mirrors turned to different angles, like a disco ball, Hicks said.

The algorithm is a set of calculations to manipulate the direction of each face of the metaphorical disco ball so that each ray of

light bouncing off the mirror shows the driver a wide, but not-too-distorted, picture of the scene behind him.

Hicks noted that, in reality, the mirror does not look like a disco ball up close. There are tens of thousands of such calculations to

produce a mirror that has a smooth, non-uniform curve.

B-segment Nissan Note features self-cleaning rearviewcamera

The Nissan Note features an intelligent self-cleaning rearview camera. In order to make premium technology features accessible to

the B-segment, Nissan's engineers have developed all the functions of Safety Shield to rely on only the rearview camera. That

means the costly radar, laser or front-facing camera technology needed by many premium models are not needed, says Nissan.

However, with so many functions relying on the unblinking operation of the wide angle rear view camera, Nissan's engineers

realised the lens would need to be clear of dust and dirt at all times.


"The rear camera is critical to the functionality of Safety Shield, as well as the rear view used for around view monitor, said

Richard Picton, Nissan's safety shield engineer. We couldn't allow the camera's lens to get dirty at any time because it would

detract from the technology's performance in everyday use with the customer. However, we didn't want the task of cleaning the

lens to fall at the hands of the driver, so the intelligent self-cleaning system was developed."

With no input from the driver the rear camera is kept clear of accumulated dirt or water drops. This fully automated function relies

on algorithms processing more than 3m pixels from the rear camera every second to determine when the image is obscured. Inputs

are also taken from windscreen wiper functions to help to ascertain the prevailing driving conditions.

First the image from the camera is received and processed into a view which the human eye can easily see. In order to see beyond

180-degrees, the lens protrudes from its position on the tailgate and has a 'fish-eye' shape. As a result it captures a stretched image

that needs to be digitally remapped to appear on the flat 5.8-inch Connect screen on the Note's dashboard.

The downside of the camera's location is that it is exposed to dirt, dust and water, which could obscure the image. "Light dust is

best cleared with a blast of air, says Picton. A splash of muddy water from a puddle will need a full wash, so water is squirted at

the lens and blown off again with air."

Tomorrows rearview mirrorsTomorrows car rearview mirrors will feature fog sensing/signalling modules, gas sensing, occupantsensing, sign detection, and pedestrian detection. While more and more features are being packed intorearview mirrors, embedded camera technology is developing quickly. As the electronic content pervehicle rises year on year, packaging designers are struggling to integrate new features, displays, sensorsand driver communication interfaces. New electronic features can be located in four main areas: theinstrument panel, overhead console, centre console or mirror. An increasing number of features are nowbeing integrated into the mirror. The following table sets out the possibilities.



Existing and potential features for inclusion in interior rearview mirrors, 2013

FFeatureaturee Existing / potentialExisting / potential

Indicator LEDs for alarm/immobilser system Existing

Tyre pressure display Existing

Rear Park Assist Display Existing

Rear camera display Existing

Hands free communication Existing

Telematics Existing

Remote keyless entry receiver Existing

High beam headlamp assist (SMARTBeam) Existing

Map lights Existing

Digital compass Existing

Exterior temperature display Existing

Trip functions display Existing

Universal garage door opener Existing

Rain/fog sensing Existing

Lane departure warning Existing

Traffic sign recognition Potential

Forward collision warning Potential

SourSourcece

Gentex


Audis R18 Le Mans prototype has no rear window. Instead, it features a digital rearview mirror. A smallcamera located at the rear of the car relays images to a 7.7-inch digital screen in place of the interiorrearview mirror. This technology could trigger more styled supercars to eliminate the rear window.

Rear camera displays could become compulsory in theUS by 2014

In early December 2010, the US National Highway Traffic Safety Administration (NHTSA) released a proposed ruling that could

make rearview cameras compulsory on cars by 2014 in the US. The NHTSA estimates that 230 people are killed and 17,000 injured

each year after being struck by reversing vehicles and is proposing that rearview cameras that provide a view of a 3m by 6m area

behind the vehicle be made compulsory from September 2014. The agency estimates that it will cost US$160-$200 to fit cameras

to vehicles that don't already have video screens and around $60 to those with video screens.

A number of suppliers already offer a rear camera display (RCD) device. For example, Gentexs RCD mirror consists of a proprietary

liquid crystal display device that shows a panoramic video view of objects behind the vehicle in real time. When reverse gear is

selected, the display illuminates and automatically appears through the rearview mirrors reflective surface to give a clear image.

The image is generated by a camera or cameras placed in a protected area at the rear of the vehicle. When a forward gear is

selected, the display automatically disappears.

Ford continues to roll-out its rearview camera system. Ford's system uses an exterior camera embedded in the rear of the vehicle

that sends images to a video display in the rearview mirror or the navigation system screen to help enhance visibility directly

behind the vehicle when the driver is in reverse. The rearview mirror system allows customers a choice in systems, says Ford. The

rearview camera image is overlaid with lines that mark the width of the vehicle and are shown either on a rearview mirror display

or navigation system screen.

Meanwhile, Gentex states that its mirror-integrated display provides customers with immediate compliance with the 7 December

NPRM. Gentex says its RCD mirrors respond in two seconds or less, and typically have a daytime luminance in the range of 1,200

to 1,500cd/m2. We believe that Gentex RCD Mirrors are faster, brighter and are more cost-effective than other displays available

today, offering our customers immediate compliance with the KTSA, said Enoch Jen, Gentex senior vice president. At 4,000cd/

m2 the displays are more than 300 per cent brighter than any current in-dash display. We are urging our customers to consider our

RCD Mirrors as part of their strategy for meeting the requirements of the NHTSA rule, which is expected to be finalised by the end

of 2011.

Yet as of March 2012, the NHTSA and the Department of Transportation were stalling on issuing the announcement as they

require more time to study "a wider range of vehicles and drivers", according to Ray LaHood, Secretary of Transportation.

And then in early January 2013, NHTSA again postponed implementation of its rear visibility regulations. "The department remains

committed to improving rearview visibility for the nation's fleet and will issue a final rule upon completion of the regulatory review

process," NHTSA said in a statement. Some automakers have already committed to adding backup mirrors as standard equipment

on their cars in the future.


Bloomberg reported on 15 January 2013 that the delayed rule that would require backup cameras in new cars remains very much

on the table, National Highway Traffic Safety Administrator David Strickland said. The secretary and I talk about rear visibility

every day, Strickland said during an interview at the Detroit motor show, referring to US Transportation Secretary Ray LaHood.

Automakers have opposed placing the mandate on all vehicles, saying it makes sense for larger cars.

Gentexs solution to meet the pending Kids Transportation Safety Act (KTSA) requirement is its Rear Camera Display (RCD)

Mirrors, which display high-resolution, colour images of the area directly behind the vehicle via an automaker-specified camera.

For its part, Bosch already produces the necessary automotive video technology. Boschs product range starts with video cameras

for simple image reproduction on a video display in the driver's field of vision. These analogue colour cameras have a resolution of

640 x 480 pixels and lenses that cover an angle of view of either 130 or 180 degrees. Bosch engineers are also combining video

technology with ultrasound systems for parking aids and parking assistance systems. They are also working on multi-camera

systems that are capable of giving the driver a bird's-eye view of the car and its immediate environment. The next stage, says

Bosch, is for the video systems not just to display images they have filmed but also to interpret them. Smart camera systems

analyse video footage in order to detect obstacles and moving objects in the vehicle's vicinity and to provide warnings to the driver.

Meanwhile, Honda says it is taking a comprehensive approach to enhancing driver visibility and confidence on the road beginning

with the

For its part, Honda says it is taking a comprehensive approach to enhancing driver visibility and confidence on the road beginning

with the widespread application of rearview cameras on 2013 models. Over 94% of Honda's 2013 North American model line-up

will be equipped with rearview cameras, with 100% of Honda's truck line-up (Crosstour, CR-V, Odyssey, Pilot, Ridgeline) as well as

CR-Z, Accord and Crosstour providing rearview cameras as standard equipment. Rearview cameras are just one aspect of Honda's

comprehensive approach to technologies designed to enhance a driver's visibility, demonstrated by a host of features available on

2013 Honda models. Safety technologies such as Honda's new Forward Collision Warning (FCW)

global market review of automotive mirrors

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