- Deal signed with Huayu Automotive Systems Co., Ltd.
- JV to support Magna's first e-drive business in China
- Builds on Magna's electrified powertrain experience
SHANGHAI, China, Oct. 18, 2017 /PRNewswire/ - To expand its global
electrified powertrain offerings and strengthen its local footprint
in China, Magna has entered into a
joint-venture agreement with Huayu Automotive Systems Co., Ltd.
(HASCO,600741.SH), a subsidiary of SAIC Motor. The JV will
initially produce an electric-drive powertrain system for a German
automaker. A signing ceremony was held today with executives from
both JV partners.
Magna designs and manufactures a portfolio of versatile and
innovative products that bring power to the wheels of passenger
cars and light trucks.
For the initial customer order, the JV will leverage Magna's
innovative, highly integrated e-drive system with a focus on the
production of the system mainly for the Chinese market. Both
partners will give the JV full support to develop localized core
competencies in terms of market development, R&D, advanced
manufacturing and key parts supply such as gearboxes, inverter
components and e-motors, which are key to delivering advanced
powertrain technologies and a stronger product portfolio to
customers.
"The new-energy vehicle (NEV) market will continue to grow at a
rapid speed in China. With this
trend, SAIC Motor is developing the New Four Modernization strategy
focusing on car electrification, connectivity, intelligence, and
sharing economy," Mr. Chen Zhixin, President of SAIC Motor and Vice
Chairman of HASCO, said. "The establishment of the JV, a strong
combination of HASCO and Magna's strength to initiate cooperation
in NEV electrified powertrain systems, has been a milestone for
HASCO to develop its core competencies in the field of key
new-energy-related components, as well as a critical measure to
strengthen the New Four Modernization strategy for SAIC."
"China is the number-one growth
market in the world, and they have been clear about their intended
leadership in bringing hybrid and electric vehicles to market,"
said Don Walker, Magna CEO.
"Combining strengths with HASCO helps position Magna and the joint
venture for future growth and success."
Magna possesses the skills and experience to develop and
manufacture electrified powertrains. This includes all key
components for modern e-drive systems: e-motor, gearbox, inverter
and control software. For nearly 10 years, Magna has been
supporting customers in the U.S. and Europe from concept to production with
products for battery electric and plug-in hybrid vehicles.
In 2009, the company announced a vehicle-development partnership
with Ford Motor Company to introduce a zero-emission lithium-ion
battery electric vehicle (BEV) – this became the Ford Focus BEV,
which entered the market in 2011 and is still available today.
Magna was responsible for providing the electric motor and
electronic control module, and also played a key role in the
engineering to integrate the electric propulsion system and other
new systems into the vehicle architecture.
Additionally since 2012 Magna has supplied Volvo with the
electrified rear axle drive system (eRAD) featured on the Volvo V60
and S60 plug-in hybrid models. Magna's eRAD system complements a
traditional gas- or diesel-engine front-wheel-drive powertrain with
an independent electric powertrain to power the rear wheels. This
system offers multiple hybrid driving modes while also adding
four-wheel-drive capability. Magna received the Volvo Cars Quality
Excellence (VQE) Award earlier this year for its outstanding
performance in supplying these systems.
TAGS
e-powertrain, electric vehicle, Chinese joint venture
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