Mercedes-Benz and BYD come together to produce electric cars

BYD, which stands for Build Your Dreams, and Mercedes-Benz's parent company Daimler AG will set up a new company which will be called Shenzhen BYD Daimler New Technology Co. Ltd, and will be responsible for developing electric vehicles for the Chinese market.

The two companies announced that they will invest a total of US$87.9 million in the joint venture, and each company will have a 50-50 stake in the new set-up. The new electric vehicles will be market under a new brand jointly created and owned by Daimler and BYD.

According to a statement made by Daimler, the German automaker will bring its "know-how in electric vehicle architecture and safety" to the venture, while BYD will contribute "it's excellence in battery technology and e-drive systems".

Mr Wang Chuanfu, Chairman and President of BYD Company Limited, 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 the Board of Management of Daimler AG, added, "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 centre with BYD adds another dimension to our growing presence in this important market."