Daimler AG and Chinese partner Beijing Automobile Co., Ltd. formally signed an agreement on the 13th to further deepen the cooperation between the two parties in the joint venture Beijing Benz Automobile Co., Ltd. (hereinafter referred to as "Beijing Benz"). The two sides signed a framework agreement to increase investment of 4 billion yuan (more than 500 million euros), which will be used to further expand the Beijing Benz engine plant.
Mr. Tang Shikai, member of the board of directors of Daimler AG, responsible for the Greater China business, and Xu Heyi, chairman of Beijing Automotive Group Co., Ltd. and chairman of Beijing Automotive Co., Ltd. attended the signing ceremony.
Tang Shikai said: "Localization is the key to Daimler's sustainable development and future success in China. Today, the two sides signed an agreement on increasing investment, marking the successful opening of our partnership with BAIC for the next decade. Beijing Mercedes-Benz's 'Made in China, exclusive China' Mercedes-Benz products, we are confident that Daimler is constantly developing in China, the world's largest passenger car market."
Xu Heyi said: "The agreement further strengthens our comprehensive strategic partnership with Daimler. It also shows that Beijing Benz has reached new heights in manufacturing and management capabilities. By deepening the close cooperation between the two parties, we will further Improve the competitiveness of Beijing Benz and continue to set a new benchmark for the Chinese automotive industry."
Beijing Benz Auto Co., Ltd. is a joint venture between Daimler and Beijing Automotive Co., Ltd., which has been producing Mercedes-Benz passenger cars since 2005 and Mercedes-Benz engines since 2013. In terms of floor space, Beijing Benz is currently the world's largest Mercedes-Benz passenger car plant.
The Beijing Benz engine plant produces Mercedes-Benz 4-cylinder and 6-cylinder engines for the production of models produced by Beijing Benz and the light-duty commercial vehicles of Daimler's other joint venture in Fujian, Fujian Benz. In 2015, the Beijing Benz engine plant produced about 250,000 units. As passenger car sales continue to rise, it is expected that its engine production will also be adjusted to a higher level.
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| 2.OE NO.: | 89408-48030 |
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