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Sino-German partnership to drive forward electric vehicle development

By BO LEUNG | China Daily Global | Updated: 2019-11-26 09:40
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ZF's coPILOT vehicle makes its global debut in Shanghai, showing Level 2 plus autonomous functions. [Photo provided to China Daily]

German vehicle supplier ZF Friedrichshafen AG and China's electric motor manufacturer Wolong Electric Group have announced they are setting up a joint venture to boost electric vehicle development.

The agreement will see the two companies working together on producing components and electric motors for automotive applications.

Wolong hopes the partnership will become a global leader in new energy automotive motors.

Chen Jiancheng, chairman of Wolong Electric, said: "We are certain that new energy vehicles will take a very large share in the future market, and this will bring unprecedented development opportunities for both of us. The joint venture company with ZF will be the first step, aiming to provide motors and their components for ZF and the general market."

ZF Friedrichshafen AG said the partnership will strengthen ZF's engagement in the world's largest electromobility market and further improve competitiveness in electric driveline systems.

"The partnership with Wolong, a key player of electric motors and components in the Chinese market, is a great next step in further strengthening our electric mobility strategy," said Jorg Grotendorst, head of ZF's E-Mobility Division. "With the joint venture, we extend our value chain for electric motors to include sub-components and it gives us even better access to customers and suppliers in China."

The joint venture, named Wolong ZF Automotive E-Motors Co Ltd, will produce electric motors and components for use in ZF driveline systems and the open market.

ZF said an initial success of the partnership is the award of a major series production contract for electric motor components for hybrid and electric drives.

The new venture will be headquartered in Shangyu, in China's Zhejiang province. By 2025, the company is expected to employ up to 2,000 staff .

Holger Klein, a member of the management board at ZF, said the joint venture will deepen cooperation with the Chinese company and make it easier to invest in China while making ZF"a significant contributor in the electrification and sustainable mobility in this market".

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