- The technology company intends to become the market leader in intelligent networking of mechanical components
- The Chief Executive Officer confirms the sales target for 2015
- Within the course of integrating ZF TRW, Livonia will become the new North American headquarters of the technology company, while the sales and engineering center will be located in Northville
ZF Friedrichshafen AG begins the 2016 automotive year at the North American International Auto Show (NAIAS) in Detroit, Michigan. Under the motto “shaping the next decade of automated driving,” ZF is displaying products and solutions for the automobile megatrends of efficiency, safety, and autonomous driving from a single source. This will be the first time doing so in the U.S. since acquiring TRW Automotive in May 2015.
“Now that the acquisition of TRW is complete, we want to become the market leader in the intelligent networking of mechanical components,” said ZF CEO Dr. Stefan Sommer on Monday in Detroit. “That is a strength that none of our competitors can match. In the coming year, we will have a broader product portfolio and, at the same time, be able to cut costs because we are making good progress with the integration of ZF TRW.” The integration is – in addition to the establishment of the new E-Mobility Division and the improvement of cost structures at the German locations – a decisive topic for this year. The E-Mobility Division will begin working this month on bundling all activities involved in the electrification of automobiles and commercial vehicles.
Positives and negatives in individual markets
Sommer has confirmed the company sales target for 2015 of between €29 billion and €30 billion (approximately $32 billion) that had been communicated in the middle of the year. ZF will also achieve its results targets. Sales in the North American region have continued to develop positively from the previous year. ZF will present detailed figures at the annual press conference on March 22. The ZF CEO remains optimistic for 2016: “There are both positives and negatives in the markets.” The U.S. market is robust and continues to develop strongly; this also applies to some European countries such as Spain and Great Britain. “The Chinese market also continues to grow strongly despite reduced dynamics,” emphasizes Sommer. Recoveries in Brazil and Russia, on the other hand, have not yet materialized.
Livonia will become the headquarters of ZF North America
In the course of integrating ZF TRW, ZF has made its first location decision: The current headquarters of ZF TRW in Livonia, Michigan, will become ZF’s headquarters for North America in April 2016. Administrative tasks that have been conducted in both locations until now will be bundled in Livonia in the future. At the same time, ZF’s Northville, Michigan, location, which is approximately a 20-minute drive from Livonia, will serve as a central sales and engineering center. “Bringing together the administrative tasks of ZF and ZF TRW in North America is another important milestone in the integration process,” explains Sommer. ZF TRW employs 1,200 people in Livonia, and ZF has roughly 400 employees in Northville.
Livonia thus becomes the seat of the Senior Management Team of ZF North America and of Dr. Franz Kleiner, member of ZF’s Board of Management responsible for North America and CEO of ZF TRW. In addition, Kleiner will also assume management of ZF North America on April 1, 2016. The current president of ZF North America, Julio Caspari, will retire at the end of March after more than 40 years at ZF.
ZF at NAIAS
The first joint trade show presentation of ZF and ZF TRW at the NAIAS is very much focused on the development of autonomous driving. In Detroit, ZF will display its sensor systems, intelligent control units, and mechatronic actuators. Components for active and passive safety systems, which are an essential requirement for automated driving functions, as well as products for the electrification of the driveline, can be found at the ZF booth. This includes the 8-speed plug-in hybrid transmission already available in volume production, as well as a new, highly modular axle system with integrated electric axle drive.
