Report: Daimler to Build Smart Cars in China
Aug. 10, 2018—Daimler is reportedly in talks to make electric smart cars with Chinese manufacturing partner BAIC.
CNBC reported that Daimler took a nearly 4 percent stake in BAIC subsidiary BJEV last winter, and signed a pact to build a $1.9 billion factory in China in February. It’s a sign that Daimler’s continuing to ramp up its electric vehicle efforts, and take further advantage of the growing market for electric cars in China.
Daimler’s Smart car subsidiary makes microcars and subcompact cars. While Smart cars have been a tough sell in the U.S., Daimler is confident they will grow in appeal in markets that tend to have crowded environments, like many cities in China. The size of Daimler’s stake in the joint venture is unclear at present, Bloomberg reported.
Daimler is also investing in electric vehicles outside of China, as the company has been building electric freight trucks and plans to release multiple electric vehicles over the next few years under the Mercedes-Benz brand name.