DUBLIN, Ireland--(BUSINESS WIRE)--Power management company Eaton (NYSE:ETN) and Shaanxi Fast Gear (SFGW), today announced they have signed a joint venture agreement to manufacture manual transmissions for light-duty commercial vehicles. The formation of the joint venture is subject to regulatory approvals and customary closing conditions.
The planned joint venture will be based in the High Tech Zone of Baoji City, Shaanxi Province, China, and will develop, manufacture, sell, and service manual transmissions for the large and fast growing light-duty truck market in China. In addition, the joint venture will sell its products throughout the rest of Asia-Pacific, Eastern Europe, and Africa.
“We are pleased to announce our new joint venture with SFGW,” said João Faria, president, Eaton Vehicle Group. “Eaton’s efficient transmission solutions, combined with SFGW’s infrastructure and current light-duty transmission portfolio, will strengthen our collective goal to help light-duty commercial vehicle OEMs meet increasing regulations for improved fuel economy and performance.”
SFGW, headquartered in Xi’an, China, will own a 51 percent interest in the new joint venture. Eaton will own a 49 percent interest.
Eaton and SFGW are currently partners in a joint venture, Fast Eaton Clutch, that develops, manufactures, and services clutches and associated clutch components in China. Fast Eaton Clutch is based in Xi’an, China, and has seen a significant increase in sales since starting operations in 2014.
Eaton is a power management company with 2017 sales of $20.4 billion. We provide energy-efficient solutions that help our customers effectively manage electrical, hydraulic and mechanical power more efficiently, safely and sustainably. Eaton is dedicated to improving the quality of life and the environment through the use of power management technologies and services. Eaton has approximately 96,000 employees and sells products to customers in more than 175 countries. For more information, visit Eaton.com.
About Shaanxi Fast Gear
Shaanxi Fast Auto Drive Co., Ltd was founded in 1968. It owns and joint-owns over 10 subsidiaries, a factory in Thailand of sole proprietorship and a distribution company in the USA. Each of our business indicators has continuously ranked first in China’s gear industry for 15 years. The annual production and sales of heavy duty transmission has continuously ranked first for 12 years all around the world. It’s the only enterprise with over ten billion annual production and sales in gear industry in China. Fast Group has been committed to developing, manufacturing and selling 8 series of products, including Hydraulic AT, AMT, S-Series Transmission, Bus Transmission, Light-Duty Truck Transmission and Hydraulic Retarder, Clutch, Reducer as well as new energy products like Wheel Reducer and Electric Vehicle Drive System.