Shanghai, April 1 (Gasgoo.com) Beijing Automotive Industry Corp (BAIC) plans to form a joint venture in China with South Korean electric-car maker CT&T to make and sell electric cars, Bloomberg reported today.
A plant will be built for this venture in Beijing, with an annual production capacity of 50,000 units. The JV partners also plan to build about 10 factories of a similar size in mainland China, said CT&T, adding that it will sign a final agreement with Beijing Auto in June.
Amid increasing global demand for low-emission vehicles, automakers are expanding into electric vehicles in China, the world's largest auto market. Daimler AG and BYD Co. agreed last month to form a partnership to develop electric vehicles.
The Chinese market for electric cars may grow to $4.4 billion a year, or more than 500,000 units, boosted by government support for alternative-energy vehicles, CT&T said.
Beijing Auto operates car-making ventures with Hyundai Motor and Daimler's Mercedes Benz unit. It will also use Saab technology, which it recently bought from General Motors, to make own-brand cars.
