EVINTRODUCTION
MANAGEMENT MESSAGE
HOW WE CREATE VALUE
BUSINESS DIVISIONSUSTAINABILITYCORPORATE GOVERNANCE
FINANCIAL SECTION

Special Feature: Playing a Leading Role in the Era of Electrification

ELECTRIC VEHICLE
SpecialFeature

1Playing a Leading
Role in the Era ofElectrification

Differential assemblies and reduction
gears as key devices for EVs

Intensive investment since the 2008
global financial crisis in anticipation ofelectrification

Greater opportunities created byaccelerating development

We have been working on the digital transformation (DX)of the development process. While development processused to involve many elements that are dependent on
individual skills, we have consolidated knowledge through

DesignMUSASHIREPORT

17Approx.
Approx. 8.0 million
5.0 million
units
units
2015

2020

2025

World’s best technologies for the optimization of

3 transmission functionality

Capable of supplying products locally to customers all

4 over the world

the introduction of a digital platform. This has enabled us toimprove the efficiency and speed of the process.
Because the development period for EVs is short,suppliers must also maintain an unprecedented development
speed. We have established an advanced development
system leveraging digital technologies. Using this system,
we are able to cater to increasingly sophisticated customer
needs and seize opportunities to expand our business.

Prototyping

Automation of initial design andmodel generation using our original
design software

Evaluation

Reducing the frequency of
prototyping using computer
simulations

Sharing data and expertise on acommon platform

Feedback for the next model
Reducer unit for EVs(Designed by Musashi
Seimitsu Industry)3

Reduction gear

one ton is applied to thepalm-sized gear.

Greater opportunities created by accelerating

2 development

DX of the development process

World’s best technologies forthe optimization of transmissionfunctionality

Compact &Lightweight

A differential assemblyis a differential gear
arrangement that receives
torque from the engine via
the input shaft and directs
it to two output shafts(on the right and leftwheels) with an applicabledifference in revolutions.
This device must bevery strong and durable
because the torque thatmoves the automobile
which weighs more than

Differential assemblies and reduction gears as key

1 devices for EVs

At Musashi Global Center, which was established in2008, we have been working on the development of highperformance, affordable Powertrain parts in anticipationof the arrival of the electrification era. One of the great
achievements from these efforts is the commercializationof our proprietary differential assembly.

2The EV market is growing rapidly.
The development race is becoming fierce globally,
which is leading to car makers increasingly outsourcing
operations. An increase in new manufacturers entering themarket, an increase in new development projects, shorter
development cycles, and other changes have also created
new opportunities for us to make inroads. Gears used for
differential assemblies and speed reducers, which are ourmainstay products, also play an important role in EVs, sodemand for these parts is expected to increase.
In this trend, the technologies and knowledge that
we have accumulated over many years as a manufacturer
specialized in gears for vehicles are our great advantage inthe era of electrification. We also work on the developmentof reducer units for EVs that combine the differential
assemblies and reduction gears, aiming for another leap
forward based on key devices in the EV era.

Differential assembly

POINT

A reduction gear is amechanical systemthat converts the highrotational speed of themotor to a safe andcomfortable driving
speed. Differences in
the reduction ratio affectthe performance of an
automobile, including
acceleration and range.
We are working vigorously
to improve technologies
to reduce gear noise andweight and to achieve
other targets.

High-Strength

EVs are heavy partly because of the battery. This makes it
more important than ever to use compact, lightweight parts.
In addition, gears used in EVs must be very strong and quiet
while driving due to the characteristics of EVs’ motors.
We are pursuing the optimization of transmissionfunctionality, which is our core technology. We cater to highlevel customer needs using the world’s best technologies,
including technologies for the realization of the ideal
tooth profile for specific gears, highly efficient processing
technologies leveraging our integrated manufacturingsystem, and technologies based on our digital platform thatenable outstanding development speed.

Technologies for designing
tooth profiles ourselves
Precision forging/processing technologies
Technologies for
optimal layouts

Approx.
100,000 units
20152020

2025

Capable of supplying products locallyto customers all over the world

Quiet

Required technologies

Approx.
900,000 units

4

Our global production and sales network with its integrated
manufacturing system is one of our greatest advantages. It
is unrivaled by other companies. The continued evolution ofour existing infrastructure enables us to deliver products tocustomers all over the world from our local bases even as
electrification progresses.

Other global customers

49%

25 %
FY2015

FY202051%

75 %For the Honda GroupMUSASHIREPORT18