Based on new business awards and actions announced to date, BorgWarner believes it is already on track to achieve approximately $3.7 billion of electric vehicle revenue by 2025. The company now expects its 2022 electric vehicle revenue to grow to approximately $850 million—more than double what it was in 2021.
BorgWarner has been growing its electrification portfolio deliberately, starting with acquisition of Remy (motors) in 2015, followed by additions such as Sevcon (2017, power electronics); RMS & AM Racing (2019, electronics for startup EV customers); Delphi (2020, power electronics and software); Akasol (2021, battery packs and modules); and Santroll’s eMotor business (2022, LV eMotors).
BorgWarner has just added Rhombus Energy Solutions, a provider of charging solutions in the North American market. (Earlier post.) The company paid approximately $130 million at closing, and up to $55 million could be paid in the form of contingent payments over the next three years.
Rhombus offers a broad portfolio of Underwriters Laboratory (UL)-certified DCFC charging solutions, including Vehicle-to-Grid (V2G) capabilities. Target markets include depots for electric buses and trucks, with a focus on the North American market.
Recent wins include two additional high-voltage coolant heater programs, one with a global OEM expected to launch in 2023 and the other with an emerging electric vehicle brand in China expected to launch in 2024.
BorgWarner has also been awarded a battery system with a European commercial vehicle OEM. This battery system will be utilized in medium-duty commercial vehicles expected to launch in 2024.