Geely has signed a deal to set up an automatic transmission joint venture with Japan's Aisin Group.

The China Daily reported the joint venture has a registered capital of $117 million. Aisin AW, the world's largest maker of automatic transmissions, holds a 60-percent stake and Geely Luoyou Engine Co. holds the remaining 40 percent.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

The plant, with a designed annual production capacity of 400,000 6-speed automatic transmissions, is scheduled to start mass production in 2020, Geely said.

The carmaker said its current transmission production capacity cannot meet its growth demand, and the joint venture could offer more high-performance transmissions.

An Conghui, president of Geely, said the joint venture will help Geely improve its research and development and manufacturing capacity in the advanced powertrain field.

See Also:

Aisin said it will restructure production lines at Tangshan Aisin Gear Co., Ltd., a manual transmission production factory in China, and begin manufacturing automatic transmissions there starting August 2019, in an initiative to build an automatic transmission production capacity of 12.5 million units in 2020.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Tangshan Gear began production in 1996, and manufactures drive plates, which are manual and automatic transmission parts. Now, the existing manual transmission production line will be restructured, and a new automatic transmission assembly line will be established to supply 6-speed automatic transmissions for front-wheel drive vehicles to automobile manufacturers in China at a scale of 400,000 units per year.