China's BYD Co. Ltd. and Germany's Daimler AG have formed a joint venture called Shenzhen BYD Daimler New Technology Co. Ltd., which will develop an electric vehicle for China.
BYD and Daimler will invest RMB 600 million ($87.9 million) to use as registered capital for the venture. The vehicle will be marketed under a new brand jointly created and owned by Daimler and BYD.
Daimler recently launched the smart fortwo electric drive and this year will introduce two Mercedes-Benz electric cars: the B-Class F-Cell with fuel cell technology as well as the battery electric A-Class E-Cell.
BYD is the fastest growing Chinese automotive manufacturer. BYD introduced its F3DM dual-mode hybrid electric vehicle in 2008 and started direct sales to customers in 2010.
The company recently launched the e6, a pure electric vehicle and established itself as the first manufacturer in China to commercialize taxi business with its e6.