German automaker breaks ground on axle plant
The groundbreaking ceremony for the ZF new energy vehicle eDrive plant on Tuesday in Shenyang, Liaoning province, shows the confidence of German industry in the Chinese market.
Located in Shenyang's Hunnan district, the project involves an investment of over 1 billion yuan ($140 million) and will employ around 900 people. Its main product is electric axle drives.
The is the third e-mobility plant of ZF in China since 2021.
"This new project demonstrates that we are keeping up investment 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, a member of the mangement board of ZF group.
"With the expected rapid growth of the global and Chinese EV market over 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."
Lyu Zhicheng, mayor of Shenyang, praised the investment. He said it has an important driving effect on the development and clustering of the new energy vehicle and parts industry, and expect ZF to play a key role in promoting the electrification of domestic and international OEMs and facilitate the high-quality development of the industries in Hunnan district.
"As a global top 500 enterprise, ZF is a trusted old friend and partner of Shenyang. This new plant is another strategic move by ZF Group to seize the commanding heights of scientific and technological innovation and industrial development. It fully reflects the confidence and determination of ZF Group to invest in Shenyang," Lyu said.
Liu Siying contributed to this story.