Garrett Motion Inc., a leading differentiated automotive technology provider and Shaanxi Hande Axle Co., Ltd. (HanDe), a leading Chinese axle manufacturer for commercial vehicles, have signed a strategic agreement, including a series production award, to co-develop and manufacture advanced electric beam axle systems for medium and heavy-duty trucks. The signing took place today at the Shanghai Auto Show—China’s flagship platform for mobility innovation—marking a significant milestone in the electrification of commercial transport.
Garrett is pioneering high-speed electric motors combined with fully in-house developed inverter technology for commercial vehicles—delivering breakthrough reductions in size and weight versus current industry benchmarks. For fleets, this translates into significantly lower total cost of ownership (TCO) through reduced energy use, lower maintenance, and improved drivability thanks to less unsprung mass. The system is engineered to minimize the use of rare earths and critical minerals, supporting more sustainable sourcing. Scalable and production-ready, the Garrett E-powertrain solution for commercial vehicles marks a major step towards high volume roll out of electric trucks. Convinced by the tangible TCO savings, sustainability and drivability benefits, Garrett sees a strong interest from leading global commercial vehicle OEMs and fleet operators to quickly adopt this solution.
Under the agreement, Garrett and HanDe will co-develop next-generation electric beam axle systems across truck weight classes, with production targeted for 2027. The solution will integrate Garrett’s high-speed e-motor and inverter technology into HanDe’s proven axle and transmission platforms—delivering industry-leading TCO, high performance, efficient packaging, and system scalability.
The strategic partnership includes a multi-year production award from major Chinese commercial vehicle manufacturers and will support both high-volume domestic output and international expansion. Initial manufacturing will take place in Xi’an and Wuhan, with test fleets set to begin field trials in 2026 as part of a broader global rollout strategy.
“Our collaboration with HanDe is a strategic step forward in electrifying trucks,” said Olivier Rabiller, President and CEO of Garrett Motion. “This strategic partnership builds on our momentum in commercial electrification and reflects the growing demand for differentiated, scalable technologies. By combining Garrett’s high-speed e-motor and inverter expertise with HanDe’s strength in axles and transmissions, we’re setting a new benchmark for performance and sustainability—both in China and globally.”
Wang Zhanchao, Party Secretary and General Manager of Hande Axle, commented: “We are proud to partner with Garrett—a trusted global technology leader—to co-develop next-generation electric axle systems that will define the future of commercial mobility. Signing this agreement at the Shanghai Auto Show underscores the strength of our shared ambition. With thousands of vehicles expected on the road by 2027, we are already collaborating with OEMs to accelerate deployment across China, Japan, Europe, and beyond. This collaboration represents more than innovation—it’s a bold step toward a more sustainable, electrified transport ecosystem.”
This collaboration also aims to contribute to the local electrification ecosystem through knowledge sharing and joint engineering development, strengthening regional supply chains and accelerating the adoption of zero-emission trucks.
SOURCE: Garrett
