Full-scale sales of 2-Wheel e-Axle in India, the World Largest Market
Musashi, Delta Electronics and Toyota Tsusho establish Joint Venture

Musashi Seimitsu Industry Co., Ltd. (hereinafter referred to as Musashi), Delta Electronics, Inc. (hereinafter referred to as Delta) and Toyota Tsusho Corporation (hereinafter referred to as Toyota Tsusho) have announced that they have agreed to establish a new joint venture company (hereinafter referred to as the Joint Venture Company) for the purpose of manufacturing and selling e-Axle for two-wheeled vehicles (hereinafter referred to as e-Axle). The Joint Venture Company will mass produce e-Axle in the Indian market and work to expand sales from a wide range of customers.

1. Background and objective of establishing the Joint Venture Company
As countries around the world successively announce their goal of achieving carbon neutrality by 2050, reducing emissions of greenhouse gases such as CO2 has become an essential issue. Particularly in emerging countries where two-wheeled vehicles are indispensable for people's daily lives, environmental problems caused by exhaust gas and global warming caused by CO2 emissions from two-wheeled vehicles are serious problems, and motorcycles are a clean and comfortable means of transportation. Expectations are rising for the spread of new electric mobility.

In the Indian market, the world's largest two-wheeled vehicle market, the government has set a goal of converting all two-wheeled vehicles under 150cc to EV by 2025.  Under these government initiatives, the conversion of two-wheeled vehicles to EV is accelerating ahead of that of four-wheeled vehicles, and the need for local production of two-wheeled EV is also increasing.

Responding to this background, the Joint Venture Company will manufacture and sell the e-Axle jointly developed by Musashi and Delta.  Furthermore, it will expand the lineup of e-Axle to meet market needs, engage in further manufacturing and sales, and aim to become a manufacturer with the world's top market share.

By supplying e-Axle, it will contribute to spread two-wheeled EV in the Indian market and to the world, and also contribute to achieving the global consensus of carbon neutrality.

2. Features of the Joint Venture Company

The e-Axle mainly consists of a gearbox and a motor. The Joint Venture Company will provide high added value including quality assurance by developing, manufacturing, and selling a high-performance e-Axle with the compact, lightweight, and quiet characteristics required for EVs as an integrated system. Furthermore, it will enable rapid and flexible research and development that anticipates changes in the market and technology, as well as efficient procurement and sales by leveraging the respective business bases of Musashi, Delta, and Toyota Tsusho.

3. Overview of the Joint Venture Company

(1)    Name : Musashi Delta e-Axle India Private Limited
(2)    Location : Doddaballapura 3rd Phase Industrial Area, Village-Raghunathpura, Hobli-Kasaba,Taluk-Doddaballapura, District-Bangalore Rural Karnataka 561203. India (On the premises of Musashi Auto Parts India Pvt. Ltd.)
(3)    Title and Name of Representative : Kenji Setogawa, CEO

4. About future
In the Indian market, Musashi has invested in and collaborated with EV startup BNC (Headquarters: Coimbatore, Tamil Nadu, India; CEO: Anirudh Ravi Narayanan) to develop two-wheeled EVs equipped with e-Axle. We have agreed to start selling from February 2024.  Going forward, we will aim to supply e-Axle to a wide range of customers, with the main target being the 125cc class, which is the volume zone for motorcycles in the Indian market.

5. Comments from Representatives of Companies
Comment from Mr. Hiroshi Otsuka, CEO of Musashi Seimitsu Industry
"In India, two-wheeled vehicles are an indispensable mode of transportation for the common people, and electrification is expected to progress rapidly towards 2030. Our company has the strength of being the world's top share in transmissions for two-wheeled vehicles, and by leveraging synergies with Delta, a leading manufacturer of electronic devices, and Toyota Tsusho, which has a global logistics network, we will provide innovative electrification solutions to India and the world. Towards the realization of enriched Harmony between our lives and Earth, which is our Purpose, we will lead the proliferation of clean e-mobility through the supply of high-performance e-Axle.".

Comment from Mr. Andy Liu, General Manager of Industrial Automation Business Group, Delta Electronics
“Our Company, Delta Electronics has been engaged in providing solutions that integrate the high-efficiency power electronics technology with domain knowledge and know-how that we have cultivated for years.  In particular, electrification in the transportation sector is one of our focus industries, as it currently accounts for 23% of the world's CO2 emissions and reducing it by electrification will contribute to making a sustainable future, which harmonizes with our mission from the very beginning of the company.
Today, I am very excited to announce the establishment of a joint venture with Musashi and Toyota Tsusho.  Through this collaboration, three companies will bring together their respective strengths to develop and provide high-performance e-Axle. We all would like to contribute to creating a better tomorrow with our products for the further spread of two-wheeled EVs.”
-Andy Liu, General Manager, Industrial Automation Business Group -

Comment from Mr. Futoshi Horisaki, COO for Global Parts and Logistics Division, Toyota Tsusho
“We have decided to take on the challenge of manufacturing the e-Axle, a core component for two-wheeled EV, in India, the world's largest two-wheeled vehicle market, together with Musashi and Delta. This new initiative is expected to be organically linked to our company's “Seven priority domains*”. By creating synergies that combine our global network, core businesses, and expertise cultivated in the mobility field, we will provide new value to our partners and society.”

News Source:Delta Electronics