HL Mando, a unit of South Korea’s HL Group specializing in electric vehicles and self-driving systems, announced on Thursday the establishment of an auto parts joint venture focusing on commercial vehicles with China’s Tianrun Industrial Technology Co. The move is aimed at expanding HL Mando’s global business reach.
The newly formed joint venture, Tianrun Mando, sees Tianrun Industrial Technology holding a 60% stake, with HL Mando holding the remaining 40%. The joint venture, headquartered in Shandong, China, received a total investment of 100 million Chinese yuan ($13.8 million), with Tianrun contributing 60 million yuan and HL Mando investing 40 million yuan.
Tianrun Mando’s primary focus is on the global market for electric power steering systems for commercial vehicles. The company will initially concentrate on China, which is the world’s second-largest market for commercial vehicles, before expanding its operations to other countries.
One of the key goals of the joint venture is to introduce a lineup of ball-nut type electric power steering (BN-EPS) systems for trucks and buses by 2026. The BN-EPS system is considered a next-generation electric steering system that uses energy only when necessary, thereby reducing emissions and improving fuel efficiency and overall performance.
