Global automotive supplier ZF Foxconn Chassis Modules (ZFFCN) expects to double its annual sales from actual US$4.4 billion to US$8.8 billion until 2029. Accordingly, this is contrary to the situational decline in the global automotive market.

For that reason, ZFFCN is benefiting from a strong order intake of top tier OEM also for its China-based plants and ongoing outsourcing trends. Moreover, the company will start to operate its Tiexi plant in 2025 to increase volume production.

ZFFCN celebrates 30 years of chassis modules excellence in all its 25 international locations. Presently, ZFFCN looks back on 30 years of axle modules assembly. The supplier legacy of the 50-50 joint venture between ZF Friedrichshafen AG and Foxconn (Hon Hai Technology Group) traces back to August 1994. This is when the first axle sets left the plant in Duncan United States towards customer BMW. Since then, the customer proximity, logistics, and assembly expertise have high value. Specifically, through long-lasting partnerships with the world’s leading OEM such as BMW, Mercedes-Benz, Stellantis, and Jaguar Land Rover.

New Plants in China

Eike Dorff, CEO of ZF Foxconn Chassis Modules explains, “Today, we have two good reasons to celebrate. Firstly, for thirty years our valued teams around the world have proven that our chassis modules expertise is market leading. Experience, adaptability, unconditional customer focus, and passion remain our guarantors for the client’s success.”

In addition, Dorff says, “We are very grateful for our customers, partners, and shareholders for their trust in us. Secondly, I am very content, that our recent strong order intake leads to long-term business growth for our Chinese business and attracts new customers.”

Meanwhile, Dr. Xu Jun, ZF Foxconn Chassis Modules China Vice President adds, “Celebrating 30 years of chassis modules excellence overall and 21 years of successful axle systems business in China. (This) is a remarkable testament to the loyalty of our customers and the hard work of our team. I am really happy to celebrate this achievement today and feel grateful for all partners accompanying our success story in China. With great pride and excitement, our team is looking forward to several new contracts and the erection of a brand-new plant in China.”

The new plant in Tiexi district will add to the  two existing axle module production for 11 different car models from 2 top tier OEM in Shenyang and Beijing plants. Thus, ZFFCN will start the production of front and rear axle sets for a new platform in 2026 at Beijing plant.

Furthermore, the existing ZFFCN Shenyang plant will start production of an additional, completely new vehicle platform by the year 2028 in a larger volume. Meanwhile, the new plant in Tiexi District will start operations in 2025 for additional volume production.

Business Excellence for renown and disruptive customers

With an unparalleled quality management, agile JIT/JIS processes, and a technology-open approach, ZFFCN plans to evolve its region’s services to attract new customers especially from China’s vast New Electric Vehicle (NEV) portfolio. ZFFCN’s Taiwanese shareholder Foxconn provides additional market proximity and technology know-how throughout the whole AP region.

Technology-open approach

ZFFCN strives to be at the fore front of the automotive industry, leveraging its expertise in logistics, operations, industrialization, and engineering to deliver added value to a variety of different customers. Many years of portfolio experience and adaptability enable ZFFCN to support its customers globally in a technology-open manner offering services for Combustion Engine (ICE), Hybrid or Fully Electric/ Battery Electric (BEV) vehicles.

09 September 2024