BAIC Foton and ZF Strategic Cooperation Bears Fruit Again: First AxTrax 2 e-Drive Axle Rolls Off Production Line

On June 22, BAIC Foton and ZF celebrated another milestone in their strategic cooperation—the first AxTrax 2 e-drive axle rolled off the production line at their joint venture factory in Jiaxing, marking a critical step for BAIC Foton in gaining a decisive voice in the core new energy components sector for commercial vehicles, transitioning from strategic planning to tangible implementation. Zhang Lan, Secretary of the Party Working Committee and Director of the Management Committee of Jiaxing Economic and Technological Development Zone; Chang Rui, Deputy Secretary of the BAIC Group Party Committee, General Manager, and Chairman of BAIC Foton; Lu Zhenghua, Party Secretary and General Manager of BAIC Foton; Cui Shipeng, Vice President of BAIC Foton and Chairman of ZF Foton; Andreas Moser, Member of the ZF Board of Management, Head of the Commercial Vehicle Solutions and Industrial Technology Divisions; along with hundreds of distinguished guests from government, shareholders, partners, and the media, gathered together to witness this milestone moment.

01 Responding to the Trend of Industrial Transformation, Strategic Layout Bears Fruit

The automotive industry is currently undergoing a transformation of a magnitude not seen in a century, with electrification and intelligence sweeping across the globe. During the "15th Five-Year Plan" period, the domestic commercial vehicle market is expected to stabilize at around 3.2 million units, with new energy penetration projected to reach 50% by 2030 and L2+ intelligent driving for commercial vehicles reaching 30%. Meanwhile, geopolitical dynamics are reshaping the global energy supply chain, making energy self-sufficiency a strategic priority for nations, compelling the commercial vehicle industry to accelerate the transition from fuel-driven to electric-driven systems.

Based on this deep insight into industry trends, in April 2023, BAIC Foton and ZF signed a strategic agreement to introduce ZF's latest e-drive technology to China for the first time, with production based in Jiaxing. After three years of meticulous construction and preparation, the AxTrax 2 e-drive axle officially rolled off the production line at the joint venture factory, turning this strategic blueprint into reality.

As ZF's integrated e-drive axle platform designed for next-generation commercial vehicles, the AxTrax 2 is applicable to medium and heavy-duty vehicles. It uses a modular design to replace the engine, transmission, driveshaft, differential, and conventional axle, enabling commercial vehicle electrification. The product launched this time features a 930V silicon carbide inverter, delivering a continuous output power of 210 kW and a peak torque of 26,000 N·m. It is equipped with a 3-speed gearbox and an electronic shift actuator, while its compact design maximizes battery layout space and achieves full synchronization with vehicle braking, ADAS, and autonomous driving systems, providing an efficient and intelligent system solution for the electrification of commercial vehicles.

02 Jiaxing Base Continues to Empower, Joint Venture Reaches New Heights

Since BAIC Foton and ZF established a joint venture in Jiaxing in 2017, the cooperation between the two parties has been continuously deepening. To date, the BAIC Foton and ZF transmission joint venture factory has achieved cumulative sales of 20 billion RMB. The Jiaxing base, with its advanced production systems and intelligent equipment, is becoming ZF's important manufacturing, R&D, and functional headquarters base in the Asia-Pacific region. The official rollout of the AxTrax 2 e-drive axle marks a critical step in the expansion of cooperation from the traditional transmission field to the e-drive domain.

In his speech, Lu Zhenghua expressed sincere gratitude to the Jiaxing Municipal Party Committee, Municipal Government, Economic Development Zone, and relevant departments for their long-term care and support for the development of the BAIC Foton and ZF transmission joint venture, and paid high respect to the project team and all employees who worked day and night to overcome challenges. He noted that the new product launch is only the first step of a long journey, and put forward three expectations for the future development of the joint venture:

First, continue to lead in technology, fully leveraging ZF's global technological advantages and BAIC Foton's vehicle scenario expertise to accelerate the efficient transformation of e-drive axles from technology reserves to commercial delivery;

Second, deepen customer value, focusing on core scenarios such as long-haul logistics and regional transport, accelerating the transformation of products from "offline delivery" to "customer profitability";

Third, advance localization and cost reduction, relying on the resilience and scale advantages of the domestic industrial chain to accelerate the localization of components, making globally competitive e-drive axles available to customers with better cost performance, and helping new energy commercial vehicles accelerate from "policy-driven" to "market-driven".

03 Anchoring the "15th Five-Year Plan," Supporting Green Transformation of Commercial Vehicles

At the critical juncture of the first year of the "15th Five-Year Plan," the mass production of the AxTrax 2 e-drive axle represents another important achievement in BAIC Foton's advancement of the three major strategies: "Comprehensive Internationalization, Comprehensive New Energy, and Comprehensive Intelligence." Facing the deep integration of electrification and intelligence, and the restructuring of the global landscape, BAIC Foton is leveraging key technologies to build vertically integrated competitive advantages in core components such as batteries, electric drives, and electronic controls.

The official commissioning of the AxTrax 2 e-drive axle not only provides strong technical support for BAIC Foton's new energy commercial vehicles but also sets a benchmark for the localization of e-drive technology in China's commercial vehicle industry. In the future, the BAIC Foton and ZF transmission joint venture factory will continue to drive cost revolution through technological innovation, exploit efficiency gains through lean management, and accelerate the new energy commercial vehicle sector into a new stage driven by market forces.