Commitment to Conservation

Commitment to Conservation

For AAM, the heart and soul of our future is our advanced technology. Our future is focused on products that deliver and generate power in the most efficient way.

When it was launched, AAM’s EcoTrac was the industry’s first disconnecting all-wheel drive (AWD) system. Originally featured on the Jeep Cherokee, the EcoTrac system enables the performance and safety of an AWD vehicle with the fuel economy of a front-wheel drive vehicle.

When we initially launched EcoTrac in 2013, it eliminated about 80 percent of system drag compared to a traditional AWD system. Since then, our engineers have made enhancements to continue to make this groundbreaking system even more efficient. Our second generation system, which we launched in 2018, eliminates approximately 90 percent of the parasitic losses.

Click here to learn more about EcoTrac.


AAM is also taking advantage of the current powertrain trends towards multi-speed transmissions and downsized engines in order to improve fuel efficiency. OEM customers have been shifting to 8-, 9- and 10-speed transmissions over recent years. This shift has increased the demand for AAM’s transmission components and subassemblies.

In addition, the trend towards downsizing engines is driving additional demand for our vibration control systems which are specifically designed for smaller displacement engines, stop/start applications and mild and plug-in hybrid vehicles.


We also expanded development of our QUANTUM™ driveline technology.

QUANTUM provides substantial advantages through reduced mass, increased power density, improved noise vibration and harshness
(NVH) and efficiency gains.

Scalable across vehicle segments, QUANTUM can be adapted for use on virtually any size vehicle. Our QUANTUM products are up to 35 percent lighter and offer up to 20 percent more efficiency compared to today’s traditional axle.

During 2018, AAM was recognized with two significant awards for QUANTUM: the inaugural Future of Lightweighting Altair Enlighten Award and the Society of Automotive Analysts’ Lightweighting Award. Both of these awards honor innovative technologies that have the potential to support significant lightweighting initiatives and applications.

Click here to learn more about QUANTUM.


In 2018, we launched into production our first e-AAM™ system for the battery-electric (BEV) Jaguar I-PACE crossover vehicle. AAM supplies both front and rear electric drive units delivering a total of 400 hp. and 516 lb. ft. of torque through a high-performance electric all-wheel-drive system.

AAM’s second e-AAM new business award will enter production in 2020 with a customer on a rear-wheel-drive, high-performance vehicle in Europe.

Even as we are just completing our first launch of our e-AAM products, our advanced engineering team is not sitting still. We are also developing and testing an e-AAM solution for light truck applications. We are working on our next-generation technology that looks to further integrate power electronics, lightweighting and power density improvement initiatives into our e-Drive units.

Click here to learn more about e-AAM.

Global Environmental Policy

AAM is dedicated to the protection and conservation of the environment. We are helping to ensure a green future through social responsibility, global compliance, and the reduction of energy use, waste, and pollution.

The key points of this commitment include:

  • Strive toward continuous improvement of our environmental performance through the establishment of environmental objectives and other key metrics.
  • Ensure compliance with applicable environmental rules, regulations and laws in all countries where we do business through monitoring and auditing programs.
  • Incorporate pollution prevention practices to properly control, minimize or eliminate regulated substances from our water discharges, air emissions and solid waste disposal.
  • Reduce waste through source reduction, re-use, and cost-effective recycling programs.
  • Utilize technology, behaviors and engineering practices to reduce environmental risks and impacts to our operations.
  • Foster open communication with our associates, communities where we do business, and other interested parties regarding our environmental performance.

Carbon Disclosure Policy (CDP) Reporting

AAM participates in the CDP (formerly known as the Carbon Disclosure Project) which allows us to compare our progress to that of peer companies in similar regions and sectors. Our climate-related data for 2020 was independently verified by a third-party prior to our CDP submittal. The selected third-party provider is an accredited verification partner of the CDP. Read report here

Environmental Management System

To date, 57 of our locations have been certified to ISO 14001-2015, the international standard for environmental effectiveness. About 90 percent of all of our products are manufactured in facilities that are ISO 14001-2015 certified. Eight additional locations are planned for certification in the coming calendar year.

Additionally, AAM’s world headquarters, located in Detroit is an Energy Star location and as a company, we are a partner of the Energy Star program of the United States Environmental Protection Agency. Over the last 3 years, we have tripled the number of manufacturing facilities that have earned ISO 50001 Energy Management certification so that at the end of 2018, 21 facilities were certified.

We deploy our best practices company-wide. Some of our key 2018 energy projects included:

  • LED lighting upgrades
  • Furnace optimizations and efficient replacements
  • Compressed air control systems
  • Procurement of additional variable compressors


Reducing Waste

AAM has been engaged in waste reduction at all of our plants for several years. Each year facilities are required to submit their best waste reduction project and the top six projects are selected for recognition, with a single winner selected for company-wide recognition.