- ZF strategy targets global growth in the commercial vehicle sector
- Localization, design-to-market approaches, and joint ventures open up more market opportunities
- Compelling ZF products for commercial vehicle manufacturers on all continents
The demands placed on the transport industry are growing worldwide. Yet developments are not all heading in the same direction everywhere: While in some regions the issue of lifecycle costs is paramount among fleet owners and legal requirements for emissions and load capacity set tight limits, a low purchase price is an important criterion in other regions of the world, not to mention the substantial variations in load capacity. Drivelines used in vehicles for passenger transport or goods haulage also differ. Finding the right transmission technology for all commercial vehicle requirements is a strategic challenge for a global technology company such as ZF.
Apart from exports, there are many other ways that ZF can achieve its declared strategic aim of utilizing market opportunities for commercial vehicle transmissions around the globe: Firstly, the technology company is making its product portfolio available in other regions of the world apart from Europe. In this respect, maintaining affordable costs for the local market through in- country production and a local supplier structure is a key consideration. Secondly, the ZF product range is being adapted to local circumstances and – mainly also locally – developed for the market. ZF supplements this – thirdly – with partnerships and joint ventures with established companies.
The Intarder transmission brake is one example of an international export hit. ZF has produced more than 800 000 units since volume production got underway at its location in Friedrichshafen in 1992.
Today’s third-generation product with its multiple optimizations is such a success more than anything because commercial vehicles of all kinds, including rail vehicles, can decelerate safely and without wear in any driving situation. This conserves the main brake, thus extending its service life and reducing maintenance costs for fleet owners.
Localizing transmission technology
A very different approach underpins the worldwide success of the manual commercial vehicle transmission ZF-Ecomid: ZF has produced around 750 000 transmission systems of this type worldwide. The ZF plant in Bouthéon has undoubtedly been mainly responsible for this success – at the beginning of December 2013, the 500 000th unit of the 9-speed transmission came off the French line. Apart from the French location, three more ZF locations ensure the transmission’s global success: Sorocaba (Brazil), Pune (India), and Naberezhnye Chelny (Russia). At these locations, the Ecomid transmission is produced for the local market according to the design-to-market principle and is thus tailored to the individual market requirements.
The degree of localization is also similar with other ZF products: For instance, the Ecolite manual 6-speed transmission, which is used in the VW Amarok, is produced in Eger (Hungary) and Sorocaba (Brazil). By contrast, the 8-speed automatic passenger car transmission – produced at the ZF location in Saarbrücken and at the new U.S. location in Gray Court (South Carolina) – is also increasingly being used in light commercial vehicles, for instance in the Ram 1500, on account of its high torque range up to 1 000 Nm.
Design-to-market: Tailor-made solutions for the growth markets For many forwarding agents, especially owner drivers in the growth market of China, a low purchase price is the decisive factor. To serve this market segment, ZF offers low-priced transmissions under the Value Line product name. They stand out first and foremost for their robustness, ease of operation, and lower costs compared with direct competitors. ZF is also tailoring the premium segment (Premium Line) to local market requirements at its Engineering Center in Shanghai, such as with the Ecosplit manual transmission, which is also produced locally in China. The Premium Line products are a compelling proposition for those forwarding agents with a particular focus on lifecycle costs – thanks in part to its optimum ease-of-use as well as fuel efficiency and resource conservation.
The joint venture between ZF and the Chinese commercial vehicle manufacturer Beiben plays an important role in this product strategy. The joint venture in which ZF holds a 51 percent stake produces 16-speed manual transmissions for heavy trucks as well as manual 9-speed transmissions for medium-duty commercial vehicles and 5- or 6-speed manual transmissions for buses. They are used in vehicles produced by the manufacturer Beiben, but are also marketed by ZF as Value Line products in China.