Recently, Nidec Corporation announced that it will establish a new joint venture for producing drive motor with GAC Components, a subsidiary of GAC, which will be based in Guangzhou China. The drive motor will be first installed on GAC’s electric vehicles, and it is expected to supply other auto manufacturers in the future.
The joint venture company is called Guangzhou Nidec Auto Drive System, the headquarter will be located in Guangzhou with a registered capital of 600 million yuan (~US$85 million), Nidec holds 51%, and GAC Components holds 49%, the joint venture company will be officially registered in September or October 2019.
Nidec Corporation is an electromechanical supplier that started in the motor business. At present, the company’s business covers communications, IT, home appliances and automobiles, and has always attached great importance to the Chinese market. In recent years, Nidec is trying to promote the expansion of the “three-in-one (integrated motor, gearbox and inverter)” electric drive system E-Axle in China, and the newly released GAC Aion S and the Aion LX, which is going be listed, will be equipped with the E-Axle electric drive system.
Nidec is expected to the demand of this product will exceed 4 billion yuan in the Chinese market by 2020. The cooperation with GAC will integrate the knowledge of vehicle technology of GAC and the electric drive technology of Nidec, it can not only promote the localization of the electric drive electric drive products, further reduce the cost, but also lay the foundation for the research, development and promotion of new electric drive products in the future.