ZF to produce TraXon 2 automated transmissions in Brazil

German automotive supplier ZF has announced a R$ 1 billion investment plan in South America over the next five years. A key component of this strategy is the localization of the TraXon 2 automated transmission, a high-complexity technology for heavy-duty trucks, which will be produced in Sorocaba, São Paulo.

The company expects to begin supplying the new transmission to vehicle manufacturers in 2027. This initiative is part of a broader package of regional developments, which includes the expansion of component remanufacturing in Araraquara and new local engineering developments in Brazil.

ZF reported approximately R$ 8 billion in revenue in South America for 2025. The investment aims to modernize existing factories and increase the competitiveness of the national automotive supply chain by bringing advanced global technologies to the local market.