Toyota Group and JTEKT Co., Ltd. ("JTEKT") have announced that they have plans to change the ownership of Feng Precision Industry Co., Ltd. ("Feng Precision") The shares were transferred to JTEKT. The purpose of transferring these shares is to further enhance the competitiveness of Toyota Group and its major suppliers in the powertrain market. After the completion of the transaction, Feng Precision's drive system components and gear production and processing equipment will be transferred from the Toyota Group to JTEKT.
Currently, Toyota Group's powertrain related components are mainly produced by Toyota, JTEKT and Feng Precision. Toyota Motor and Feng Precision are responsible for the development and production of differential gears, and JTEKT is responsible for the development and production of torque control devices (electrically controlled four-wheel drive couplers).
In the future, with the acceleration of the electrification of automobiles, the market competition environment will undergo significant changes. The Toyota Group hopes to merge the powertrain business and develop more modular components to make the size of the powertrain more compact and lighter, increase the added value of the product, and provide customers with more efficient powertrain solutions. Further promote the growth of product sales.
According to the information, JTEKT is a new company established after the merger of former Koyo Seiko and former Toyota Koki on January 1, 2006. Its main products include automotive powertrains, wheel hub units, steering systems and bearings; Established in 1958, it mainly produces automobile differential gears, brake hubs, planetary gears and other auto parts. The two have a strong correlation in specific business and product development.
Toyota Group's adjustment of the powertrain system business will help suppliers achieve effective complementarity of resources and expand technological advantages, which is also in line with the current trend of strengthening business synergies and increasing systematic competitiveness of the global auto parts market. The Toyota Group stated that it will continue to increase the integration of related technologies and products of its members in the future.