Aisin Seiki Co., Ltd (AISIN) and DENSO Corporation (DENSO) today announced that they have reached a basic agreement to establish a new joint venture company to develop and sell electrification driving modules. The company will be capitalized with the participation ratio of AISIN 50% and DENSO 50%.
The automotive industry is in an era of profound transformation, particularly in technologies for electrification, automated driving, and connected driving. Electrification is one of the key disrupters impacting the automotive industry. Companies need to accelerate the development of technologies that meet the needs of automakers and consumers and help maintain a sustainable society free from environmental problems such as global warming, atmospheric pollution and resource and energy problems.
Electrification requires a driving module package that integrates key components, such as transaxles, motor generators, and inverters. This joint venture will develop and sell driving modules customized to meet performance, cost and regional requirements.
AISIN and DENSO will focus on driving modules for hybrids, plug-in hybrids, fuel cell vehicles and electric vehicles, especially in China where the market for electric vehicles is expected to rapidly expand.
Details are still being discussed and the plan is for the new company to launch in March 2019. The collaboration between the two companies will support their commitment to maintaining a sustainable society.
