After the Second World War the factory was nationalised in the German Democratic Republic and produced electric locomotives for home use and for export, mainly to Communist Bloc countries under the name Lokomotivbau-Elektrotechnische Werke (LEW).

In 1910 the AEG company acquired a 700,000 m2 (0.27 sq mi) of land in Hennigsdorf near Berlin for the creation of a ceramics factory which began production in 1911.

[2] Production of locomotives as Hennigsdorf continue under the name Borsig Lokomotiv Werke GmbH as a subsidiary of the AEG group up till 1944.

In 1947 the factory was nationalised, becoming the "VEM Vereinigung Volkseigener Betriebe des Elektro-Maschinenbaus-Lokomotivbau Elektrotechnische Werke Hennigsdorf (Osthavelland)", and in 1948 production of electric locomotives began.

[2] From the mid-1980s, LEW began to cooperate with AEG, in which Daimler-Benz took majority control around the same time, in exports to third countries, peaking in the 601 Series (today Class 520) intercity diesel multiple units for Greece's OSE in 1989.

[10] In November 1991, AEG agreed with the Treuhand to purchase the rail core business parts of LEW and invest in the Hennigsdorf production facilities for altogether 600 million DM.