BAIC Foton and ZF Strategic Partnership Bears New Fruit: First AxTrax 2 Electric Drive Axle Rolls Off the Production Line

On June 22, the strategic partnership between BAIC Foton and ZF Friedrichshafen AG yielded another milestone — the first AxTrax 2 electric drive axle officially rolled off the production line at the joint venture plant in Jiaxing, Zhejiang Province. This event marks BAIC Foton's acquisition of key voice in the field of new-energy core components for commercial vehicles, achieving a critical leap from strategic planning to concrete implementation. Mr. Zhang Lan, Secretary of the Party Working Committee and Director of the Management Committee of Jiaxing Economic and Technological Development Zone; Mr. Chang Rui, Deputy Secretary of the Party Committee, General Manager of BAIC Group, and Chairman of BAIC Foton; Mr. Lu Zhenghua, Secretary of the Party Committee and General Manager of BAIC Foton; Mr. Cui Shipeng, Deputy General Manager of BAIC Foton and Chairman of ZF Foton; and Mr. Andreas Moser, Member of the Management Board of ZF Group and Head of the Commercial Vehicle Solutions and Industrial Technology Divisions, along with hundreds of guests from government, shareholders, partners, and the media, gathered to witness this milestone moment.

01 Aligning with Industrial Transformation — Strategic Planning Bears Fruit

Today, the automotive industry is experiencing a once-in-a-century transformation as the waves of electrification and intelligence sweep the globe. During the 15th Five-Year Plan period (2026–2030), China's domestic commercial vehicle market is expected to stabilize at around 3.2 million units, with the new-energy penetration rate projected to reach 50% by 2030 and L2+ level intelligent driving in commercial vehicles reaching 30%. Meanwhile, geopolitical maneuvering is reshaping the global energy supply chain landscape, and energy independence has been elevated to a strategic priority for nations worldwide, compelling the commercial vehicle industry to accelerate its transition from fuel-driven to electric-driven powertrains.

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

As ZF's integrated electric drive axle platform designed for next-generation commercial vehicles, the AxTrax 2 can be applied to medium- and heavy-duty vehicles, replacing the engine, transmission, driveshaft, differential, and conventional axle with a modular design to achieve commercial vehicle electrification. The product that rolled off the line this time features a silicon-carbide inverter on a platform of up to 930V, with continuous output power reaching 210 kW and peak torque of 26,000 N·m. Equipped with a 3-speed transmission and electronic shift actuator, its compact design maximizes battery placement space while achieving full synchronization with the vehicle's braking, ADAS, and autonomous driving systems — providing an efficient and intelligent system solution for the electrification transformation of commercial vehicles.

02 Jiaxing Base Continuously Empowers — Joint Venture Partnership Reaches New Heights

Since BAIC Foton and ZF established their joint venture in Jiaxing in 2017, the partnership between the two sides has been continuously deepening. To date, the BAIC Foton–ZF transmission joint venture plant has accumulated RMB 20 billion in sales revenue. With its advanced production systems and intelligent equipment, the Jiaxing base is becoming an important manufacturing, R&D, and functional headquarters for ZF in the Asia-Pacific region. The official roll-off of the AxTrax 2 electric drive axle represents a critical step in expanding the partnership from the traditional transmission field into the electric drive domain.

In his address, Mr. Lu Zhenghua expressed heartfelt gratitude to the Jiaxing Municipal Party Committee, Municipal Government, the Economic Development Zone, and relevant departments for their long-standing care and support for the development of the BAIC Foton–ZF transmission joint venture plant, and paid high tribute to the project team and all employees who worked day and night to overcome challenges. He stated that the roll-off of the new product is only the first step of a long journey, and put forward three expectations for the future development of the joint venture:

First, maintain continuous technological leadership by fully leveraging ZF's global technology advantages and BAIC Foton's complete-vehicle scenario strengths, accelerating the efficient conversion of electric drive axle technology from reserves to commercial delivery;

Second, deepen customer value by focusing on core scenarios such as trunk-line logistics and regional transportation, accelerating the value conversion from "roll-off delivery" to "customer profitability";

Third, advance localization and cost-efficiency improvements by relying on the resilience and scale advantages of the domestic supply chain, accelerating component localization, delivering global-quality electric drive axles at better cost-performance ratios to benefit customers, and helping new-energy commercial vehicles accelerate the transition from "policy-driven" to "market-driven."

03 Anchored on the 15th Five-Year Plan — Supporting the Green Transformation of Commercial Vehicles

Standing at the critical juncture of the inaugural year of the 15th Five-Year Plan, the mass production roll-off of the AxTrax 2 electric drive axle is yet another important achievement in BAIC Foton's advancement of its three major strategies: "comprehensive internationalization, comprehensive new-energy transition, and comprehensive intelligence." Facing industry trends of deep integration between electrification and intelligence and the restructuring of the global landscape, BAIC Foton is leveraging key technologies to build vertically integrated synergistic advantages in core components such as batteries, electric drives, and electronic controls.

The official commissioning of the AxTrax 2 electric 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 electric drive technology in China's commercial vehicle industry. Looking ahead, the BAIC Foton–ZF transmission joint venture plant will continue to drive cost revolution through technological innovation, unlock efficiency through lean management, and propel new-energy commercial vehicles toward a new era of market-driven growth.