Looking back at December, partnerships and joint ventures across the auto sector hit a fresh wave. China FAW signed an investment cooperation agreement with Leapmotor, ECARX moved to make a $23 million strategic investment in Lotus, BYD deepened its collaboration with Volcano Engine, and CATL inked a 10-year pact with Voyah. Here’s a rundown of the key JV and partnership moves last month.
Automakers
China FAW and Leapmotor sign investment cooperation agreement
On Dec. 28, China FAW and Leapmotor held a signing ceremony in Hangzhou. Under the agreement, FAW will take a stake in Leapmotor via a domestic share issuance, becoming a strategic shareholder and using capital alignment to strengthen cooperation between the two groups. FAW Qixin Power, meanwhile, will further share resources with Leapmotor and jointly advance development and production synergies for plug-in hybrid and range-extended powertrains.
Image credit: China FAW
The tie-up traces back to March, when China FAW and Leapmotor signed a strategic cooperation MOU in Changchun. The two sides agreed to work together in the new-energy vehicle space to deepen technology integration, pool advantages and lift product competitiveness.
This investment marks an upgrade from mere technology coordination to deep integration across capital, technology and production.
BYD and Volcano Engine deepen intelligent-cockpit collaboration
On Dec. 26, BYD and Volcano Engine said they have forged deep cooperation in intelligent cockpits. Volcano Engine’s Doubao large model is now embedded in BYD’s DiLink system, enabling seamless voice interaction, content recommendations and mobility services. The cockpit large-model collaboration already spans BYD’s five brands — Yangwang, Denza, Fangchengbao, Dynasty and Ocean — covering all current models on sale.
The partnership also includes smart entry (a full-scenario digital key), in-cabin entertainment and intelligent voice, driving continuous AI evolution of the DiLink system.
By integrating the Doubao large model into DiLink and extending it across all five brands and multiple smart domains, BYD and Volcano Engine aim to align automaker scenarios with cutting-edge model technology — ushering in a more accessible intelligent cockpit and a more ecosystem-driven AI stage.
XPENG signs vehicle assembly agreement with EPMB
On Dec. 15, Malaysian auto parts maker EPMB said its wholly owned unit signed an agreement with XPENG on Dec. 12 to jointly carry out R&D, manufacturing, production and assembly for specific vehicle projects in Malaysia. The unit will assemble the XPENG G6 and X9 (including a range-extended electric vehicle version of the X9). The G6 is slated to start production by Mar. 31, 2026, and the X9 by May 25, 2026.
Image credit: XPENG
EPMB makes plastic and aluminum body parts. XPENG plans to build Malaysia into a strategic base for expansion into broader right-hand-drive markets across ASEAN. The deal marks a key pivot in XPENG’s globalization — from exporting products to localized manufacturing.
Two century-old auto giants forge a strategic partnership
On Dec. 9, Renault Group and Ford Motor announced a milestone strategic cooperation. The tie-up aims to broaden Ford’s EV lineup for Europe and sharpen both companies’ competitiveness in a fast-changing market.
At the core is an agreement to jointly develop two Ford-branded EVs. Built on Renault Group’s Ampere platform and leveraging Renault’s strengths in EV technologies, the models will be produced at Renault’s plant in northern France — highlighting Ampere ElectriCity’s manufacturing and technical capabilities.
Ford will lead design with Renault Group participating in co-development. The vehicles will marry Ford’s hallmark driving dynamics and brand DNA with a smart, intuitive user experience. They form the first step in Ford’s new product offensive for Europe, with the debut model expected to reach showrooms in early 2028.
Beyond EVs, Renault and Ford also signed a letter of intent on European light commercial vehicles, exploring opportunities to jointly develop and produce certain Renault- and Ford-branded models.
Confronted with the heavy costs of electrification, the two giants are banding together — a pragmatic move by legacy automakers and a snapshot of a global industry being rapidly reshaped.
As electrification demands massive investment, teaming up offers a practical path through the pressure. It also reflects the accelerating reconfiguration of the global auto landscape.
Supply chain
ECARX to make a $23 million strategic investment in Lotus
On the evening of Dec. 29, ECARX said it signed a share subscription agreement with Lotus Technology on Dec. 23, 2025. ECARX will subscribe for 16.79 million newly issued ordinary shares at $1.37 per share, for a total investment of $23 million.
The investment is designed to broaden ECARX’s cooperation framework with Lotus, deepening ties and building a more integrated global partnership with stronger strategic synergies.
Image credit: ECARX
Lotus CEO Feng Qingfeng said the deal reinforces the company's long-term partnership with ECARX. Together, they aim to accelerate innovation in next-generation smart cockpit ecosystems, delivering "more exceptional AI-driven experiences."
ECARX Chairman and CEO Shen Ziyu called the investment a "natural progression" in their deepening partnership, and said he expects the Pikes computing platform and Cloudpeak software platform to work in tandem — helping Lotus sports cars build a future-ready tech stack globally and laying the foundation for the next generation of intelligent driving.
Both companies sit within Geely's ecosystem. As competition shifts from electrification toward intelligence, this capital tie-up could spur deeper synergy in R&D, market expansion and supply-chain integration.
ZF LIFETEC and Wujie Power, a general embodied intelligence robotics company, form a strategic partnership
On Dec. 26, ZF LIFETEC and Wujie Power announced a strategic partnership to scale embodied intelligence technologies in advanced manufacturing. The focus is on production of core passive safety components. Using new-generation embodied robots with coordinated "hand–eye–brain" capabilities, the two aim to tackle bottlenecks where traditional automation struggles — complex parts handling, precision assembly and soft-object manipulation — to meet the needs of higher efficiency and flexible production.
Image credit: ZF LIFETEC
Under the plan, the partners will build a tightly knit co-creation system, combining ZF LIFETEC’s manufacturing scenarios, process know-how and global brand resources with Wujie Power’s strengths in a "general brain," robot hardware and systems integration. The goal is to define embodied intelligence solutions with industrial-grade reliability, efficiency and cost advantages — and help shape new standards in advanced manufacturing.
They are already working on specific application scenarios at ZF LIFETEC’s plant in China. Looking ahead, the two may set up joint laboratories and deepen cooperation in scene reconstruction, testing and validation, and global quality standards — building a standardized, modular and replicable system for robot training and deployment.
The partnership roots embodied intelligence in passive safety manufacturing, using deep scenario–technology co-creation to break through blind spots in factory intelligence. It sets a new benchmark for flexible, intelligent auto manufacturing and a model for smart transformation in advanced industries.
CATL and Voyah sign a 10-year agreement
On Dec. 17, CATL and Voyah signed a decade-long strategic cooperation agreement. The partners will collaborate across new technology applications, product supply, brand building and global market coordination to jointly advance high-end new-energy vehicles.
Image credit: CATL
CATL will prioritize supplying Voyah with leading battery technologies, scaling the application of its Qilin, Xiaoyao and Shenxing branded batteries across Voyah’s lineup. The two will also cooperate on battery swapping, the CIIC integrated intelligent chassis, the Panshi chassis, V2G and other ecosystem technologies, while deepening battery big-data collaboration to build a full lifecycle management loop spanning R&D, manufacturing and operations.
On the supply side, the partners will localize capacity and jointly plan layouts to enhance supply-chain agility and security — mitigating external volatility and ensuring stable, reliable battery supply as Voyah ramps output and competes in the market. On the demand side, they will coordinate on brand innovation and overseas expansion to lift their influence and competitiveness in the global high-end new-energy vehicle market.
The new decade-long pact marks a fresh stage of strategic cooperation. For Voyah, it could be a ballast for core technologies and supply-chain security over the next ten years. For CATL, tighter alignment helps its cutting-edge technologies land quickly on front-running models.
Adient and Schatzmann set up a joint venture
On Dec. 9, automotive seating supplier Adient said it had completed an equity acquisition, taking a 49% stake in Schatzmann Automotive Seating Manufacturing (Zhangjiakou) Co., Ltd., a unit of Zhejiang Yaoning Technology Group — cementing a strategic JV between the two sides.
The JV's business scope spans automotive component manufacturing, machining and sales, while extending to technical services, industrial design, warehouse equipment leasing and the import and export of goods and technology — forming a comprehensive industrial services chain. The new venture will be guided by China market demand, focusing on innovative, high-quality seating solutions for mainstream domestic automakers.
The partnership marks a key step in Adient's deeper push into China and injects fresh momentum into the country's auto seating sector.
Farasis Energy wins program awards for GAC Aion's Europe-bound models
On Dec. 5, Farasis Energy received program nominations from GAC Aion for the second-generation AION V (T-Rex) Europe edition and the AION UT Europe edition — expected to be GAC Aion's main models in Europe. The projects will use Farasis's SPS LFP battery system solution, with total contracted energy exceeding 10 GWh.
Image credit: Farasis Energy
The deal goes beyond a simple supplier nomination, signaling the further adoption of an overseas "automaker + battery maker" co-expansion model. In a complex international environment, this deep-binding approach is becoming a key pathway for the globalization of China's new-energy vehicles supply chain.
Qianli Smart Drive and CAOCAO Mobility form a strategic partnership
On Dec. 3, CAOCAO Mobility and Qianli Smart Drive signed a strategic cooperation agreement, establishing a deep partnership around scaled commercial deployment of intelligent driving in shared mobility scenarios.
Qianli Smart Drive will leverage its full-stack autonomous driving capabilities, automotive-grade mass-production solutions, and closed-loop processing of massive real-world traffic data. CAOCAO, for its part, will draw on its mature ride-hailing network, large compliant fleet, refined operations and broad user base to provide real-world scenarios for scaled, commercial operation of intelligent-driving vehicles.
Image credit: CAOCAO Mobility
The initial phase will pilot advanced intelligent driving services in designated areas, then gradually roll out new-energy smart vehicles equipped with Qianli's system on CAOCAO's platform. Over the coming years, the partners plan to expand fleet size and operating range.
This is not a simple technology integration or vehicle supply deal; it aims to build an integrated cooperation model spanning technology, platform and operations.