CAR components supplier Magna Kansei is revving up for expansion after securing a Government grant.

The Sunderland company, which supplies parts to Nissan, BMW, Land rover, Jaguar, MG Rover and General Motors, is set to create 79 jobs with the help of a £850,000 Department of Trade and Industry grant.

The Regional Selective Assistance grant will form part of a £6m investment by the company, which will safeguard a further 71 jobs.

The investment will introduce new technology to the region in the form of vacuum-forming and laser-cutting processes.

The company employs about 400 staff, 35 of whom are engineers involved in design, product development, project management, quality and process improvement.

The jobs being created are for design and production engineers, logistics and computer specialists, and manufacturing operators.

Alan Johnson, minister for employment relations and the regions, said: "This investment is good news for the regional economy, creating quality jobs in technology-led manufacturing.

"This is an exciting project with the additional spin-off that it will encourage new skills and create new opportunities in the region."

The company is committed to developing its workforce.

Director Les Graham said: "We are grateful for the Government's support and delighted that it will mean expansion for the company in terms of jobs and sales.

"This new venture places us at the forefront of the components industry in the UK.

"Worldwide, vehicle manufacturers are tending to more modular construction, buying complete assemblies of components, or modules, ready-made to be fitted into the vehicle body.

"We will still manufacture plastic components, but will then assemble complete modules for the other automotive manufacturers.

"With this development we expect to take our sales from £50m this year to £100m in 2004."