A Transfer Case is a fundamental part of the 4-wheel drive system on your 2006-2007 Chevy Silverado or GMC Sierra 2500HD/3500HD. The LBZ Duramax trucks came equipped from the factory with either a New Process NP261 transfer case or NP263 transfer case (also known as a New Venture NV261 / NV263 or GM 261XHD / GM 263XHD). Transfers cases typically have two 4-wheel drive settings, a high and low gear ratio for different situations. The transfer case in a 4-wheel drive system is responsible for transferring power to both the front and rear axles. Bolted to the back of the transmission, a transfer case has two driveshafts connected to it that run to each axle. There are usually two different gear ratio options with a Transfer Case, 4-wheel low and 4-wheel high. 4-wheel high is used in high-speed settings such as dirt or snow, whereas 4-wheel low is used in low-speed settings like steep rocky hills where maximum wheel torque is required.

The Transfer Case is designed to be used in off-road or low-traction situations and is not recommended to be used on dry pavement where wheel slip is not possible. When you shift the Transfer Case into 4-wheel drive, it locks the front and rear axles together so that they spin at the same speed. When engaged in 4-wheel drive the transfer case and drivetrain need some wheel slip to prevent binding or damage. Transfer Cases generally are very strong from the factory and do not require internal upgrade unless the vehicle is used for extreme off-roading or racing. In some applications an external brace can be added to increase the structural rigidity of the transfercase to prevent damage from high torque loads or twisting. Shop XDP's large selection of Duramax LBZ Transfer Case products from the top brands such as Merchant Automotive, PPE, Sun Coast Converters, Dorman, Zumbrota Drivetrain, and more.