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eAxle’s Strategic Value in an Increasingly Diversified Electrification Market
The electrification trend in the global automotive industry was initially centered on BEVs, along with a shift to Zero Emission Vehicles (ZEVs) as countries sought to comply with environmental regulations.
However, the global trend toward BEVs has fallen short of initial forecasts due to a slowdown in demand for BEVs in all major markets except China after 2023, as well as moves by major OEMs to focus on the practical side of the market.
On the other hand, not only BEVs but also various electrification solutions such as conventional HEVs and PHEVs are once again attracting attention, and there is a clear movement to successfully attract real market demand.
Under these circumstances, OEMs and Tier 1s, which have been making large investments in the future centered on BEVs, are reportedly modifying their strategies to shift to multi-pathways and making effective use of eAxle-related facilities that they have already invested in.
In China, eAxle lines that were originally developed for BEVs are now being used for PHEVs and range extender EVs (EREVs or REEVs), and many manufacturers are using eAxle resources to deploy P0, P1, P2 type + P4 HEV systems. The eAxle is being used by a number of manufacturers to deploy P0, P1, P2 type + P4 HEV systems.
Although eAxle’s priority in the industry has decreased somewhat due to the slowdown of the BEV market, it continues to occupy an important position as the electrification solution of the future, and it is also one of the core components in the transformation of electric/electronic (E/E) architecture that will be driven by SDV (Software Defined Vehicle). It also plays an important role as one of the core components in the transformation of the E/E architecture that is underway as a result of SDV (Software Defined Vehicle).