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Ground-breaking for ZF New E-mobility Plant in China

  • ZF to open a New E-Mobility plant in Shenyang, producing advanced products such as electric axle drives
  • The new plant involves an investment of over RMB 1 billion (€130 million) with a workforce of 900 employees
  • The New E-Mobility project will accelerate OEMs’ electrification transformation in China

Shenyang, China. The ground-breaking ceremony for the ZF New Energy Vehicle eDrive Project was held in Shenyang on June 13, 2023. ZF plans to produce and sell products such as electric axle drives for new energy vehicles. The project, with state-of-the-art technologies, marks another milestone in the electrification of the Group.

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Ground-breaking for ZF New E-mobility Plant in China

Located in Hunnan District, Shenyang, the ZF New Energy Vehicle eDrive Project involves an investment of over RMB 1 billion (€130 million) with an area of 8.3 hectares and 900 employees, and the main product will be the electric axle drive. The first phase of the project will be launched in March 2025, expanding ZF’s customer base and increasing the company’s e-mobility production capacity. The New E-Mobility project announced today is the third e-mobility plant of ZF in China since 2021.

E-mobility is one of the core technologies of ZF, which can provide fully localized electric axle drive solutions for OEMs. ZF’s Electrified Powertrain Technology Division has won 30 billion Euro in backlog orders globally, designing and manufacturing electric axle drive systems and components for major OEMs in both passenger car and commercial vehicle segments.

“The ground-breaking for the new project demonstrates ZF’s ongoing investments and innovation in China, and we are determined to work with partners across the industry to promote the development of new energy vehicles and to achieve carbon neutrality, “ said Stephan von Schuckmann, Member of the Board of Management of the ZF Group. “With rapid growth of the global and Chinese EV market in the next decade, ZF will continue to play an essential role in driving the auto industry’s electrification transformation with its expertise and extensive product portfolio.”

“To adapt to the ‘China speed’ and ‘Chinese efficiency’, we are advancing our localization strategy, including the management team, core R&D capabilities as well as the entire supply chain,” said Renee Wang, Executive Vice President, President of ZF China and Operation Asia Pacific, ZF Group. “By developing local competencies and leveraging local resources, we will achieve localization of advanced electric axle drive technologies. This new project in Shenyang also demonstrates our strong capabilities in new energy vehicle research and development, resource allocation, project execution, and ability to deliver as a system supplier. With our deep understanding of the Chinese new energy vehicle market, we will continue to strengthen our local development capabilities and supply chain resilience to provide our customers with leading and customized solutions for electrification.”

The products to be launched at the new plant are based on ZF’s modular kit electric drive platform and cover both front and rear axles, including motors, power electronics and reducers. Thanks to the modular design, it can meet power requirements from 100 kW to 300 kW and offers the flexibility to switch between synchronous and asynchronous motors depending on the customer’s requirements for primary and auxiliary drives. The motor features a hairpin winding for higher power and torque density, higher efficiency and optimized power output. The power electronics incorporates ZF’s High 2.0 SiC technology and is continuously upgraded on the 800-volt platform, enhancing function safety while optimizing cost. The reducer design has also been improved to ensure optimum efficiency and outstanding NVH performance.

“The new eDrive project in Shenyang is another important milestone for ZF Group to empower OEMs in terms of electrification transformation. It will support our strategic customers in transformation in China, accelerating the implementation of Electrification 2.0 and continuing our success stories in the increasingly competitive electrification market in China. By launching a new E-mobility project in China, ZF demonstrates its overall technology and strong localization capabilities,” said Chen Zhen, Head of Electrified Powertrain Technology Division, Asia Pacific, ZF Group.

“At present, the new energy vehicle industry in China is advancing by leaps and bounds, and the technological revolution is in full swing. As a leading global auto supplier, ZF has witnessed and participated in the birth, development and boom of China’s auto industry. The successful launch of this project in Hunnan, Shenyang, has an important demonstration and driving effect on the development and clustering of new energy vehicle and parts industry. We expect ZF to play a key role in promoting the electrification of domestic and international OEMs and facilitate high-quality development of the industries in Hunnan,” said officials from both Shenyang and Hunnan governments.

ZF Asia Pacific is headquartered in Shanghai, and its Electrified Powertrain Technology Division has 6 plants and an engineering center in China, producing 8-speed transmissions, axle drives, electric axle drives, electric motors, power electronics and reducers. The Division’s research and development team in China is currently hiring nearly 500 engineers.

In 2022, the ZF E-mobility projects made significant progress in China, where the group launched new projects at two plants in this area. For example, ZF Electric Mobility Technology (Shenyang) Co., Ltd. launched its new energy vehicle electric drive system project, producing and testing electric motors, power electronics and electric drive systems. Meanwhile, the second phase of the ZF Hangzhou Drivetech (Hanngzhou) Co., Ltd. was put into operation, mainly manufacturing 800-volt electric drives and reducers. The ZF E-Mobility project which breaks the ground today serves a bold move to respond to China’s incremental auto market and new customer needs, marking a significant step forward in ZF Group’s electrification and entering a new stage in the successful implementation of the Group’s “Next Generation Mobility” strategy.


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