First Chery contract for GKN Driveline Torque Technology

GKN Driveline Torque Technology, has announced a contract to supply power transfer units (PTUs) to Chery, China’s largest independent car maker. The contract is for an SUV due for launch in 2009.

“We are delighted to have won this contract which builds upon our existing strong commercial and engineering links as GKN Driveline is already a key supplier of sideshafts to Chery commented Graeme Walford, managing director GKN Driveline Torque Technology. "This is another PTU contract win for us in the fast-growing Asia Pacific region and further supports our global growth strategy", he added.

The new PTU is planned to be assembled at GKN Driveline Torque Technology's new Kangkiao manufacturing facility, announced earlier this year. Components will mainly be sourced in China except for the hypoid gear set, which will be produced in the company's Nagoya facility in Japan.

PTUs provide full-time or on-demand torque distribution for front wheel drive based all wheel drive vehicles. GKN is a world leading independent supplier of PTUs with annual production targeted to exceed 500,000 units for the first time in 2007.

Chery, the largest independent car manufacturer in China and ranked number four in terms of passenger vehicle production, is one of the fastest growing makers in the world. Vehicle production last year was over 305,000 of which some 50,000 were exported.