Fujian Daimler to open new China-based R&D center

Gasgoo.com (Shanghai April 30) - Fujian Daimler Automotive, a joint venture between Daimler AG, Fujian Motors and Taiwan Mitsubishi-owned China Motor Corporation, will invest 500 million to establish a new R&D center in Fujian's capital of Fuzhou, the National Business Daily reported yesterday.

"The R&D center will be equally created between the Fujian Automotive Group and Daimler," JV CEO Rene Reif (pictured) stated during an interview a few days ago. According to Mr. Reif, the center will be completed and operational by the end of the year. The center will aim to develop Daimler's localization efforts by further understanding the specific needs of Chinese consumers. 

The vast amount Fujian Daimler is pouring into the center is clear evidence of the JV's commitment to localization. Mr. Reif had the following to say about the center: "[Establishing] the center has three advantages: first, [because] the research center is in Fuzhou and close to our dealers and suppliers, we can provide rapid responses to market conditions; second, the center can take care of some testing work that we can't even finish in Germany; third, by closely cooperating with our suppliers, we can further increase our localization rate."

Fujian Daimler hopes to sell 20,000 vehicles this year, over double the 9,000 it sold in 2010.