GKN Driveline’s (www.gkn.com) Chinese joint-venture partner SDS (Shanghai GKN Huayu Driveline Systems) has commenced production of its complete all-wheel-drive (AWD) disconnect system for small to medium-size vehicles. This will initially feature on the Jeep Renegade built for the Chinese market by GAC Fiat Chrysler Automobiles Co Ltd (GAC FCA) in Guangzhou City, southern Guangdong Province.

SDS will supply GAC FCA from its production facility in Shanghai, where GKN manufactures the complete all-wheel-drive system, including the power-transfer unit (PTU), rear-drive module (RDM), propshaft and sideshafts, as well as the software controls.

The move marks another milestone in the growth of GKN’s AWD business in China. SDS successfully ‘localised’ production of PTUs and RDMs for Jaguar Land Rover models in 2015, including the Range Rover Evoque and Land Rover Discovery Sport; last year, the company also localised production for two more automotive manufacturers, with more localisation programmes (for other manufacturers) due to start production over the next two years.

SDS added six new AWD assembly lines and a new hypoid-gear production line at two of its facilities in Shanghai during the past 18 months, as well as testing and other equipment, significantly expanding its AWD production capacity in China. Phil Swash, GKN Driveline CEO, said: “GKN has capabilities to manufacture sophisticated all-wheel drive systems on a global basis, and that’s why auto-makers choose to partner with us. The demand for all-wheel-drive vehicles is growing at a rapid rate in China; GKN and SDS have a number of localisation and domestic programmes in the pipeline for the coming years.”

GKN’s Disconnect function enables vehicles to combine the enhanced traction, dynamics and stability of all-wheel drive with improved on-highway fuel efficiency. The system reacts to driver inputs and road conditions to seamlessly switch between two-wheel drive and all-wheel drive.