BorgWarner is continuing to expand its product portfolio for battery electric and hybrid commercial vehicles by agreeing to form a joint venture with Shaanxi Fast Auto Drive Group, a China-based market-leading commercial vehicle (CV) parts supplier specializing in transmission and drivetrain systems. By jointly working on a high-voltage inverter application for high efficiency vehicles such as heavy-duty trucks and off-road vehicles, this joint venture will support our business growth for power electronics in the electrified commercial vehicle market, said Stefan Demmerle, President and General Manager, BorgWarner PowerDrive Systems. Our strong engineering footprint in China enables us to quickly accelerate product development to commercialize highly efficient inverter technology. With solid technology, powerful R&D capabilities and an integrated supply chain, BorgWarner is a well-known global product leader in inverters for new energy vehicles. FAST group is a China-based market-leading solution provider specializing in CV transmission and drivetrain systems as well as high-end intelligent manufacturing equipment, said Xuyao Ma, Chairman of FAST Group. With electrification, connectivity, autonomous driving, and shared mobility transforming the automotive industry in China, the penetration rate of CV in the new energy sector is growing rapidly. The joint venture will increase our customer value by providing state-of-the-art inverter product and propulsion solutions in the commercial vehicle market. BorgWarner believes bringing together its cutting-edge technology, customer intimacy, and deep electrification expertise with Shaanxi Fast Auto Drive Group's commercial vehicle expertise and customer relationships will support the accelerated growth of electrification in the commercial vehicle space. Subject to regulatory approval, we expect to establish the joint venture in the first quarter of 2024.