The companies will invest CNY600m to use as registered capital for the joint venture. The EVs developed by the joint venture will leverage Daimler’s knowledge of EV architecture and safety and BYD’s experience in developing battery technology and e-drive systems and will be marketed under a new brand jointly created and owned by Daimler and BYD.
The signing of contract follows the signing of a memorandum of understanding (MOU) on March 1. Engineers, designers and other executives from both companies established working teams after the signing of the MOU to begin working on the vehicle concept. The business license for the new joint venture is subject to relevant government approval.
Wang Chuanfu, chairman and president of BYD, said: “Together with Daimler we are making excellent progress identifying opportunities to utilize the strengths of both companies to create a new brand of electric cars for China. This is a unique and exciting initiative and together we are pushing hard to bring this new electric vehicle to market as soon as possible.”
Dr Dieter Zetsche, chairman of board of management at Daimler, said: “Our new joint venture is well positioned to make the most of the vast potential of electric mobility in China.
“We are fortunate to have excellent joint venture partners in China and the establishment of this research and technology center with BYD adds another dimension to our growing presence in this important market.”
