Chinese auto maker BYD (Build Your Dreams) and German giant Daimler have signed a preliminary agreement to mass produce an electric car together, executives said at the Geneva motor show today.
Under the Memorandum of Understanding, the world's oldest automaker and one of the youngest aim to market the vehicle under a new jointly owned brand, merging their technological knowhow for China's fast expanding urban market.
"Under the agreement Daimler and BYD intend to develop a new electric vehicle specially for the requirements of the Chinese market," said BYD General Manager Henry Li in Geneva, calling it a milestone for the fledgling company.
"This is a cooperation between the most senior automaker and the youngest... Between the country with the best auto industry and the country with the biggest auto market," he told journalists.
Daimler chairman Dieter Zetsche said the company was taking a foothold in the electric vehicle sector in China, now the world's biggest and fast growing car market with about 16 million sales a year.
"Daimler's knowhow in electric vehicle architecture and BYD's excellence in battery technology and e-drive systems are a perfect match," Zetsche said in a statement.
