BorgWarner and Chery Expand Partnership with Advanced AWD Technology Deal

BorgWarner has announced multiple contracts with Chinese automaker Chery to supply advanced all-wheel drive technologies, marking an expansion of their existing partnership as both companies pursue growth in domestic and international markets.

The collaboration will see BorgWarner deliver two key drivetrain technologies to Chery vehicles, with mass production scheduled to commence in 2027. The first is the torque-on-demand transfer case with mechanical lock, designated for Chery's pickup truck lineup. The second is the Gen VI Cross Wheel Drive system, which will be integrated into Chery's sport utility vehicles.

According to Isabelle McKenzie, Vice President of BorgWarner Inc. and President and General Manager of Drivetrain and Morse Systems, the partnership draws on BorgWarner's product portfolio and technical capabilities to support Chery's expansion plans across China and global markets.

The Mlock TOD transfer case designated for pickup applications incorporates BorgWarner's HY-VO driveline chain, designed to enhance efficiency during high-speed operation. The system offers multiple drive modes, including 2-Wheel-Drive High Range and AUTO configurations for improved fuel economy on paved surfaces compared to full-time four-wheel drive arrangements. For challenging terrain, mechanical lock modes provide four-wheel drive capability in both high and low range settings.

For SUV applications, BorgWarner will supply its Gen VI XWD system, which features an updated coupling mechanism and electronic limited-slip differential. The latest generation incorporates a patented modular piston pump, brushless DC motor, and integrated controller architecture intended to reduce overall weight, manufacturing costs, and system complexity while improving operational efficiency. The system provides all-wheel drive functionality with limited-slip control for enhanced vehicle stability and traction management.

BorgWarner, which has operated for over 130 years, positions itself as a global supplier focused on mobility innovation with an emphasis on sustainability initiatives. The company has not disclosed financial terms of the Chery contracts or projected production volumes.