Garrett and HanDe Sign Strategic Partnership, Including Series Production Award to Accelerate Electrification of Heavy-Duty Trucks with Advanced E-Axle Systems | GTX Stock News

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3 days ago
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  • Strategic partnership between Garrett Motion (GTX, Financial) and Shaanxi HanDe Axle announced at Shanghai Auto Show.
  • Series production of advanced electric beam axle systems for medium and heavy-duty trucks targeted for 2027.
  • Technology aims to reduce size, weight, and total cost of ownership, while supporting sustainable sourcing.

Garrett Motion Inc. (NASDAQ: GTX), a leader in differentiated automotive technology, and Shaanxi HanDe Axle Co., Ltd., a prominent Chinese axle manufacturer, have entered into a strategic partnership to co-develop advanced electric beam axle systems for medium and heavy-duty trucks. The announcement was made at the prestigious Shanghai Auto Show, marking a significant advancement in the electrification of commercial transport.

The agreement includes a series production award from major Chinese commercial vehicle manufacturers, with production expected to commence in 2027. Initial manufacturing will be conducted in Xi'an and Wuhan, with test fleets beginning field trials in 2026. The innovative technology promises major reductions in size and weight compared to current industry benchmarks, leading to a lower total cost of ownership due to reduced energy consumption and maintenance.

Garrett's solution is engineered to minimize the use of rare earth and critical minerals, supporting sustainable sourcing. The partnership is poised to accelerate the adoption of zero-emission trucks not only in China, but also across Japan, Europe, and beyond, with thousands of vehicles anticipated to be road-ready by 2027.

Olivier Rabiller, President and CEO of Garrett Motion, emphasized the strategic move as a step forward in truck electrification, combining Garrett’s advanced e-motor and inverter expertise with HanDe’s axle and transmission strengths. This collaboration underlines both companies' commitment to setting a new performance and sustainability benchmark within the industry.

Wang Zhanchao, General Manager of HanDe Axle, expressed pride in partnering with Garrett, highlighting the collaboration as a bold step toward a more sustainable, electrified transport ecosystem. This alliance is expected to make significant contributions to the local electrification ecosystem and accelerate the global rollout of zero-emission commercial vehicles.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.