BorgWarner Secures Boosted Dual Inverter Business with Chinese OEM

Rhea-AI Summary

BorgWarner secures a contract with a major Chinese OEM to supply its dual inverter with boost function for plug-in hybrid and range extended electric vehicle passenger car platforms. The technology offers high integration, dynamic performance, and flexibility, marking the first 400V dual inverter with boost function for the company. The product is specifically developed for hybrid vehicle models, aiming to support and amplify OEM hybrid vehicle production in China.

Insights

Automotive Industry Analyst

The contract acquisition by BorgWarner to supply dual inverters with a boost function to a major Chinese OEM represents a significant strategic advancement within the automotive electrification market. This development underscores the company's competitive positioning in the PHEV and REEV segments, which are rapidly expanding due to global emission regulations and consumer demand shifts towards more sustainable transportation options.

From an industry perspective, the integration of the boost module within the 400V dual inverter not only signifies an enhancement in power density but also aligns with the localization of hybrid architecture standards in China, a critical market for electric vehicles. This localization is expected to provide BorgWarner with a competitive edge in cost efficiency and regulatory compliance, potentially leading to increased market share.

Furthermore, the production of these advanced components in BorgWarner's Suzhou plant is indicative of the company's commitment to leveraging local manufacturing capabilities, which may result in supply chain advantages and reduced logistics costs. This decision also reflects a strategic move to align closely with the 'Made in China 2025' industrial policy, favoring domestic production for high-tech components.

Market Research Analyst

The announcement of BorgWarner's inverter technology adoption by a significant Chinese OEM is likely to have favorable implications for the company's stock market performance. Investors often react positively to news that indicates a company is expanding its product portfolio with innovative solutions, especially when these solutions are aligned with current trends such as vehicle electrification.

In terms of market impact, the successful deployment of the voltage-boosted dual inverter technology could serve as a catalyst for further contracts and partnerships, enhancing BorgWarner's revenue streams and diversifying its customer base. Additionally, the company's emphasis on high integration and dynamic performance may set a new benchmark for inverter technology within the industry, potentially influencing competitors' strategies and investor perceptions of the sector's growth potential.

It is also worth noting that the timing of production, set to begin in September 2024, allows investors to anticipate potential financial outcomes in upcoming fiscal periods. This forward-looking information can be factored into valuation models, affecting the stock's perceived risk and future cash flow projections.

Electrical Engineering Expert

The technological innovation of integrating a boost function into a 400V dual inverter indicates a significant advancement in electric vehicle powertrain technology. The ability to precisely control dual motors with a single multi-core control chip is a testament to the sophistication of BorgWarner's Viper platform. This level of integration is not just about enhancing the vehicle's performance; it's also about optimizing space and reducing weight, which are crucial for the efficiency of PHEVs and REEVs.

Key technical benefits such as increased power density and performance, along with lower costs and flexible integration, are likely to make BorgWarner's solution attractive to other OEMs as well. The engineering implications of this technology could lead to broader adoption in the industry, setting new standards for hybrid vehicle powertrain systems. As automakers continue to seek out ways to improve efficiency and performance while reducing costs, BorgWarner's dual inverter with boost could become a pivotal component in the EV market.

• Dual inverters with boost to be featured on automaker's PHEVs and REEVs
• Technology offers high integration, dynamic performance and flexibility

AUBURN HILLS, Mich., Feb. 8, 2024 /PRNewswire/ -- BorgWarner has secured a contract with a major Chinese OEM to supply its dual inverter with boost function on a series of the automaker's plug-in hybrid (PHEV) and range extended (REEV) electric vehicle passenger car platforms. The boost module is directly integrated into the 400V dual inverter to achieve a higher power density as well as meet local hybrid architecture standards within the Chinese market. This win expands BorgWarner's product portfolio with this OEM, marking the first 400V dual inverter with boost function.

The voltage-boosted dual inverter is specifically developed for hybrid vehicle models as an integrated solution. The product uses BorgWarner's Viper platform to implement two inverters and a high-power boost module in a single, compact package and achieves precise control of dual motors with a single, multi-core control chip. Key benefits include increased power density and performance, lower cost and flexible integration that makes installation easy for automakers.

"As the share of hybrid vehicles continues to grow in China, supplying advanced technology like our boosted dual inverter to support and amplify OEM hybrid vehicle production is crucial," said Dr. Stefan Demmerle, President and General Manager of BorgWarner PowerDrive Systems. "Our skilled engineering team, paired with our reputable quality standards and manufacturing processes, makes us a leader in this space and a great partner in the shift toward electrification."  

The dual inverter with boost will be manufactured and assembled in BorgWarner's Suzhou, China plant, with production expected to begin September 2024.

About BorgWarner
For more than 130 years, BorgWarner has been a transformative global product leader bringing successful mobility innovation to market. Today, we're accelerating the world's transition to eMobility – to help build a cleaner, healthier, safer future for all. 

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SOURCE BorgWarner

FAQ

What contract did BorgWarner secure with a major Chinese OEM?

BorgWarner secured a contract to supply its dual inverter with boost function for plug-in hybrid and range extended electric vehicle passenger car platforms.

What is the purpose of the dual inverter with boost function?

The dual inverter with boost function is specifically developed for hybrid vehicle models to support and amplify OEM hybrid vehicle production in China.

Where will the dual inverter with boost be manufactured and assembled?

The dual inverter with boost will be manufactured and assembled in BorgWarner's Suzhou, China plant, with production expected to begin in September 2024.