Gasgoo Munich- On March 19, Gasgoo learned that GAC Group has anchored its "Panyu Action" strategy by consolidating its core power business into a standalone unit—the Powertrain BU. This marks a significant step in the automaker's overhaul of its proprietary brands, following the establishment of the Hyper Aion BU and Trumpchi BU. It is also a critical move for the group to tighten control over its core supply chain and drive its broader strategic transformation.
Image Source: GAC Group
As GAC's first component-level unit to operate as a single entity, the Powertrain BU consolidates previously fragmented functions—including R&D, manufacturing, supply, and sales—into a unified operation. Building on existing advancements in hybrids, engines, and range extenders, the unit is positioned to deliver diversified powertrain products, drive core innovation, and provide comprehensive system solutions. The goal is to accelerate technological upgrades and further solidify GAC's foundation in the powertrain sector.
The new Powertrain BU will adopt the Integrated Product Development (IPD) framework as its operational backbone. It aims for deep alignment and efficient collaboration with vehicle BUs and the R&D system to unlock systemic competitiveness. Internally, it will serve as an agile, reliable source of technology and product supply. It links closely with the vehicle division from the initial stage of market demand to ensure powertrain solutions are precisely matched and rapidly delivered. Externally, operating as an independent business entity, the BU will actively pursue market-oriented paths such as technical partnerships and component supply to compete in an open market.
GAC Group described the launch of the Powertrain BU as a pivotal move in its deepening "Panyu Action" reform. Looking ahead, the unit is expected to form deep synergies and enable two-way empowerment with vehicle BUs. As these major business units ramp up their efforts, GAC aims to leverage a more autonomous, complete, and efficient supply chain. This strategy is designed to fully activate corporate competitiveness and accelerate toward the goal of "rebuilding a new GAC."
