ZF To Invest $14 BIllion In Electric And Autonomous Technologies

Automotive parts supplier ZF is investing heavily in developing the latest vehicle technology.

Bloomberg reports that the German company will invest $14 billion over the next five years on autonomous and electric tech, spending roughly $2.8 billion annually. That’s more than the $2.57 billion which ZF spent in overall research and development in 2017 and shows just how serious the company is about the future of the automotive industry.

In a statement, ZF announced that it is currently working on a bespoke battery-powered delivery van with autonomous driving capabilities that will be ready for series production in the next two years. The company believes it will act as a direct rival to vehicles like the Volkswagen Crafter and Ford Transit.

Speaking at the commercial vehicle fair in Hanover, Germany, ZF revealed that the van will be able to easily to navigate itself through city centers, maintain its road position even on streets without markings, recognize traffic lights, and move around double-parked cars. Additionally, it will offer a ‘follow me’ function that will allow a parcel carrier to make deliveries on foot.

According to ZF chief executive Wolf-Henning Scheider, the automotive parts supplier is already in talks with several customers who could purchase fleets of its delivery vans.

ZF won’t have the market all to itself, however. Germany’s postal service is already producing its own all-electric delivery vans and is expected to introduce certain self-driving features in the coming years.

“Driverless transport vehicles and automated functions will play a significant role particularly in zoned areas like company terminal yards, forwarding company depots or air and sea ports,” Scheider added.

“In the near future, we will be seeing more autonomous vehicles in such zoned areas faster than on public roads. The cost, safety and efficiency benefits for customers will make a difference here.”

Note: ZF’s and Faurecia’s concept interior pictured.