In Xida’s testimony, BAIC and Daimler promised a 5 billion

On July 5, under the common witness of Chinese President Xi Jinping and German Chancellor Angela Merkel, Beijing Automotive Group and Daimler signed a new framework agreement. Xu Heyi, chairman of Beiqi Group, and Hubertus Troska, a member of the Board of Directors of Daimler AG and responsible for Chinese business, attended the signing ceremony in Berlin, Germany. The two parties stated that they will jointly invest 5 billion yuan to introduce pure electric vehicle products of the Mercedes-Benz brand and establish a pure electric vehicle production base and a power battery plant in Beijing.

According to the intention of both parties, Beijing Automotive and Daimler will start production of pure electric vehicles in Beijing Benz by 2020. Both parties will jointly invest in the establishment of a pure electric vehicle production base. At the same time, they will carry out local production and research and development of power batteries and adopt domestically produced batteries.

It is reported that at the beginning of June this year, Beijing Automotive Group and Daimler signed a framework agreement. As part of the framework agreement, Daimler intends to strategically invest in Beijing New Energy Automotive Co., Ltd., a subsidiary of BAIC Group, to strengthen their strategic cooperation in the field of new energy vehicles. The agreement also covers the upgrading and upgrading of Beijing Benz’s existing production facilities and makes preparations for the introduction of new energy vehicles.

Xu Heyi said: "This signing signifies that the cooperation between BAIC and Daimler will be a new level. We will fully integrate the advantages of both parties and prepare Beijing Benz for the production of pure electric vehicles. Beijing Benz will become China in the future. The important production base of pure electric vehicles has laid a good foundation."

"Localization is the key to Daimler's sustainable development and future success in China." Tang Shikai believes that "by 2025, the Chinese market will play a pivotal role in the global distribution of Mercedes-Benz new energy vehicles. In order to meet the future of Chinese customers Daimler will continue to accelerate the localization process for the diversified demand for electric vehicles."

In addition to Mercedes-Benz pure electric vehicles, BAIC and Daimler will also jointly invest in the Beijing Benz new electric vehicle power battery plant.

"The establishment of a luxury electric vehicle power battery plant in China is an important step in the strategic layout of Daimler's electric vehicles." Marcus Schaeffer, director of production and supply chain for Mercedes-Benz, believes that in order to meet the requirements of flexibility and efficiency, The demand for pure electric vehicles from Chinese customers is crucial for the localization of power batteries.

It is reported that the power battery plant will be the first outside Germany's power battery plant of Mercedes-Benz. Daimler is actively expanding the global power battery production network of Mercedes-Benz passenger vehicles. At the beginning of last year, Daimler invested 500 million euros in its Kamenz power battery production base in Saxony, Germany, and built a new battery plant for the production of batteries for Mercedes-Benz and Smart brand electric vehicles.

Following the German factory, Beijing Benz's power battery plant will also become an important part of Daimler's power battery production network, incorporating Germany's most advanced industrial 4.0 production standards, equipment and technology.

Recently, JAC and Volkswagen, BAIC and Daimler signed an agreement to jointly produce pure electric vehicles, and both have witnessed the leaders of the two countries. It can be seen that Germany and China are quite consistent in the development path of pure electric vehicles.

In fact, as early as last year, Fred Bischoff, Chairman of the Daimler Supervisory Board, once said: “Daimler wants to be at the forefront of the transformation of the automotive industry. To continue its success, it must change, and nowadays The automotive industry is moving toward electric and automation."

According to foreign media reports, Daimler's investment in pure electric vehicle projects will be as high as 10 billion euros (about 73.3 billion yuan), and plans to launch 10 models based on the same platform to build pure electric vehicles in 2022, and make pure electric Car sales account for 15% to 25% of total sales.

During the Paris Motor Show last year, Daimler exhibited the first model of the 10 new car plans - Generation EQ concept car, and this car will be Mercedes-Benz's new EQ series. The car represents the future direction of Mercedes-Benz pure electric vehicles, and its production model is expected to be launched in 2020. The future Mercedes-Maybach brand is also expected to introduce pure electric vehicles.

According to the requirements of the European Union, by 2021, the average carbon emissions of new vehicles must be lower than 95g/km, or they will face heavy penalties. In addition, the sales of diesel vehicles from several car companies, such as Daimler, have also been hit by the masses' "emissions" incident. The reputation of the German auto industry has been overshadowed. Therefore, the German automobile industry must accelerate the transition towards electric and intelligent. This is also the reason why German car companies such as Volkswagen Group and Daimler have vigorously developed electric vehicles in the past two years and accelerated their transformation.

According to the agreement between Beiqi and Daimler, the Mercedes-Benz EQ series is expected to be simultaneously listed in China by 2020. According to Mercedes-Benz's information submitted by the Trademark Office of the State Administration for Industry and Commerce, Mercedes-Benz EQ models will match Mercedes-Benz's existing cars. For example, EQ A's model is the Mercedes-Benz A-Class and EQ C is the Mercedes-Benz C-Class.

Following the world's largest new car market, the name of the world's largest new energy vehicle market has also fallen from China to China. Especially after the United States withdrew from the "Paris Agreement", China has become the leader in the global new energy vehicle market, and car companies are also clearly aware of this.

The joint venture between JAC and Volkswagen, the joint venture between BAIC and Daimler, and Tesla's China plant rumors ... that the major automakers want to invest in the production of electric vehicles in China.

At this moment, China’s relevant policies have been loosened and there are endorsements by the national leaders.

On April 26, the Ministry of Industry and Information Technology, the National Development and Reform Commission, and the Ministry of Science and Technology jointly issued the "Mid-term and Long-term Development Plan for the Automotive Industry", referring to "improving the domestic and foreign investment management system, and orderly liberalizing the equity ratio limit of joint ventures." On June 28, the National Development and Reform Commission and the Ministry of Commerce jointly issued the “Foreign Investment Industry Guidance Catalog (2017 Sumitomo)”, stating that the number of foreign-funded joint ventures established by foreign companies in China is no longer subject to the upper limit of the two companies.

In addition, many car companies have or plan to introduce electric vehicle products into China. For example, the GM plans to release 10 electric cars in China before 2020, and all domestically produced. Mondeo Energi plug-in hybrid vehicles produced by Changan Ford are scheduled to be launched in the first half of 2018, and Ford plans to have its 70% of its models sold in China available in electric versions by 2025. The first product of the Jianghuai VW joint venture will be a purely electric SUV, which will be launched in 2018. It can be imagined that in the next few years, the new energy automobile market in China will surely usher in a fierce battle.