Surging demand for AWD vehicles boosted GKN Driveline sales in 2011

Article by Christian Andrei, on January 4, 2012

Auto parts supplier GKN Driveline recorded an increase by 10 percent in sales last year, thanks to the surging demand for all-wheel-drive vehicles. When including the revenues of Getrag Group's driveline operations, revenues are up 15 percent. In GKN acquired the driveline operations in October 2011 for $441 million or 339 million euros.

In the next year, the all-wheel-drive operation is expected to grow as much as 30 percent in the next three years, the company's sales and marketing director Jim Voeffray revealed. He further stated that the awd could become as much as 30 percent of the company's business in the next five years.

Contributing to the great increase in the demand for all-wheel-drive systems is the largely popular crossover segment. Models like the Volkswagen Tiguan and the Range Rover Evoque are engineered as front-wheel-drive, with an optional awd capability.

Rising sales of all-wheel-drive automobiles in Russia, the United States and particularly China has been unexpected and "a bit of a surprise", according to Voeffray. He cited Tiguan as an example, stating that when VW originally planned sales, it thought the awd mix would be 25 percent, but it's been more like 75 percent versus the two-wheel drive.

GKN Driveline began as an ironworks in 18th century Wales. Currently, it has 15 factories in Europe and employs 20,000 people all over the world. Based in Redditch, England, it is the biggest business unit within GKN plc, the worldwide engineering group. GKN Driveline supplies most of the component that deliver power to the rear wheels, including the propshaft, final drive unit and power take-off unit. [source: Autonews]

Topics: awd

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

The highlight of this year’s Consumer Electronics Show may be based on some of these keywords---connectivity, integration and partnership. Just like in the previous year, you’ve probably heard and read...
by - January 16, 2017
Less than three weeks to go and the Super Bowl LI – one of the most awaited and most watched sports events in television – will commence on February 5,...
by - January 16, 2017
New Tesla vehicles will have to pay when charging at any of the carmaker’s Supercharger stations once they exceed their annual limits. This comes as Tesla Motors announced revisions in...
by - January 16, 2017
Off-road driving with an open air vehicle provides another kind of experience for many off-road enthusiasts and fans. For this sake, Ford is planning to offer a version of the...
by - January 16, 2017
For those who love driving, future autonomous cars should be like the Toyota Concept-i that is drawing in a multitude of visitors at the 2017 Consumer Electronics Show in Las...
by - January 15, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries