Beijing Automotive Group, the Beijing State-owned Assets Management Co. and other companies set up BAIC Motor on Sept. 28 to hold assets and build own-brand vehicles, Xinhua News Agency said, citing the managers.
Beijing Automotive will hold 51 percent of the new company, to which it will transfer its holding in Beijing-Hyundai Automotive Co., the news agency said, citing BAIC Motor Deputy General Manager Han Yonggui. The parent will transfer its stake in Beijing Benz Automotive Co. to BAIC later, Xinhua said.
BAIC Motor also plans to build sedans, sport-utility vehicles and new energy and electric vehicles under the “Beijing” brand, aiming for output of 700,000 units in five years, Xinhua said. The company will start production this year, bringing vehicles to market in 2011, the news agency said.
BAIC has total assets of more than 10 billion yuan, Xinhua said.
