Montréal, March 29, 2017
Repositioning of TM4: Company to target mass transit and focus on Asian market
Interest in electric transportation continues to see steady growth. While the passenger vehicle market is dominated by major players that have their own specialized motor development units, the mass transit sector offers greater opportunities, especially in Asia.
In this context, motor manufacturer and Hydro-Québec subsidiary TM4 today announced that it is repositioning its operations to focus on motors for heavy vehicles and buses. It is a market with strong growth potential where TM4 has already enjoyed significant success. Its joint venture Prestolite Electric Propulsion Systems (PEPS), for instance, has seen its share of the Chinese market climb from 0.4% in 2015 to 4% in 2016, with a 7% to 8% increase forecast for this year.
New product development will concentrate on SUMO motors, while operations relating to the light-vehicle segment will be scaled back. The company will nevertheless remain alert to any new mass production opportunities in the automotive industry.
This adjustment, in conjunction with a drive for greater efficiency, will unfortunately mean the elimination of around 30 jobs. R&D activities will continue to be based at our Boucherville facilities, however, in order to ensure that TM4’s know-how remains in Québec.
By refocusing TM4, we will be in a better position to keep up with the ongoing electrification of the transportation industry, ensure the company’s long-term viability and enable it to seize new business opportunities as they arise.