ZF-XCMG JV to Boost Agri Driveline Systems

Friedrichshafen, Germany – ZF Friedrichshafen AG., and XCMG Construction Machinery Co., Ltd., have signed a joint venture agreement to strengthen their collaboration in the agricultural machinery sector and accelerate innovation in advanced driveline technologies for China's rapidly evolving farm equipment market.

The new company, ZF (Xuzhou) Machinery Co., Ltd., will be headquartered in the Xuzhou Economic and Technological Development Zone and will focus on the production of advanced powershift driveline systems for agricultural machinery. The joint venture aims to combine ZF's global technology expertise with XCMG's strong market presence and manufacturing capabilities to deliver localized solutions tailored to Chinese agricultural requirements.

The agreement was signed in Friedrichshafen in the presence of senior executives from both companies, including Andreas Moser, Member of the ZF Board of Management and Head of the Industrial Technology and Commercial Vehicle Solutions divisions, and Yang Dongsheng, Chairman and Party Secretary of XCMG Group and XCMG Machinery.

According to ZF, the partnership marks an important step in expanding local production of advanced powershift technology, a key component for next-generation high-performance agricultural machinery. The companies also plan to develop innovative components and integrated system solutions that support the modernization of China's agricultural equipment industry while enhancing their competitiveness in international markets.

China's agricultural machinery industry is rapidly moving toward larger, more intelligent and higher-end products, making tractor powershift technology a critical area of development. By combining their complementary strengths, the two companies aim to jointly develop globally competitive agricultural machinery solutions and contribute to the advancement of China's agricultural equipment sector.

ZF's Industrial Technology division serves multiple off-highway industries, including agricultural and construction machinery, material handling, rail, marine propulsion and industrial gearboxes, and has maintained operations in China since the 1980s with production facilities in Beijing, Hefei, Liuzhou and Tianjin.

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