Foton Daimler Joint Venture Approved New Energy Project Launched

After nine years of negotiations, on September 26, the joint venture between Foton Motors and Daimler finally received approval from the relevant State Council. It is expected that the joint venture’s business license will be available by the end of October.

The total investment of the joint venture project is 6.35 billion yuan, and the registered capital is 5.6 billion yuan. Both parties establish a 50:50 joint venture company in the heavy truck. Among them, Foton Motors invested RMB 2.8 billion after the assessment of existing Auman business detachable assets, and Daimler contributed cash equivalents.

On September 27, Foton Motor spokesman and deputy party secretary Zhao Jingguang said that Foton’s economical commercial vehicle product resources and cost control advantages will help Daimler to expand its share in emerging markets; Daimler also It can provide support for Foton Motor's operations management, technology research and development, etc., which will help accelerate the internationalization of Foton Motor.

Zhao Jingguang also disclosed that Foton will be transformed from a single automobile manufacturer into a comprehensive service-oriented type company during the 12th Five-Year Plan period. The five major businesses include: automotive and new energy vehicles; high-end equipment manufacturing; financial services; new energy; Automotive Internet of Things. As one of the five major new energy sources, on the 28th, Foton will hold the launch of the Guangdong factory of the Ouhui Bus Division and the launch of the plug-in extended-range electric city bus in Foshan, Guangdong, which will form the center of Beijing, Beijing and Guangdong. It is the base of "one center and two bases" for the layout of new energy bus production bases.

The new factory in Guangdong covers an area of ​​843.45 mu. The factory mainly produces new energy buses such as hybrid vehicles and pure electric vehicles. After reaching production capacity, it can realize an annual sales revenue of nearly 18 billion yuan and a profit of 1.5 billion yuan. According to the plan, the production and sales volume of Foton Motor will reach 4 million by 2020, of which new energy vehicles will account for 25%.

“We plan to produce and sell 6,000 new energy vehicles in 2012 with a revenue of 20.5 billion, and in 2015 we will have 20,000 vehicles and a revenue of 30 billion.” As of now, Foton Motor has cumulatively sold nearly 5,000 new energy vehicles. Sales in 2011 are expected to exceed 2,000 vehicles. “Plug-in electric buses will become the main models for the next 20 years,” said Zhao Jingguang. The goal of Foton Bus is to take a leading position in the Chinese market and achieve market breakthroughs in the EU, Japan, North and South America, in Brazil, Mexico, India and Indonesia. And Russia realize industrialization. "India's construction project will be approved by the end of the year, and the base will begin construction in January next year."