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A Better Idea? Ford In Talks To Build Electric Cars With Chinese Giant

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A Better Idea? Ford In Talks To Build Electric Cars With Chinese Giant
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Trying to get a jump on rivals in the electric car business, Ford Motor Company (NYSE: F) says it’s looking into a joint venture with a zero-emission company in China that is already pumping out such vehicles.

The automaker said Tuesday it signed a “memorandum of understanding” with Anhui Zotye Automobile Co., Ltd. “to explore the establishment of a joint venture for the development, production, marketing and servicing of a new line of all-electric passenger vehicles in China.”

Electric Mustang?

Though there was no word about whether Ford intended to market e-cars in the United States, the announcement would seem to indicate that the partnership is Ford’s fast-track into the future of emission-free vehicles.

"Electric vehicles will be a big part of the future in China and Ford wants to lead in delivering great solutions to customers," Peter Fleet, Ford group vice president and president, Ford Asia Pacific, said in a press release.

Ford already has a significant presence in China. It sold more than a quarter million vehicles in the second quarter with Chinese partners. The company also announced in June that it will move production of its next generation Focus to China.

Zotye Auto leads the electric car market in China. Ford said the company sold more than 16,000 all-electric vehicles through July this year, up 56 percent year-over-year.

Branding Questions

Ford said the vehicles would be sold under an “indigenous brand” owned by the joint venture.

The two companies would each have a 50 percent stake in the joint venture. The Chinese government, trying to cope with one of the most polluted places on the planet, has been aggressively pushing carmakers to move to zero-free emissions.

Related link:

Ford Will Move Focus Production To China

Posted-In: Anhui Zotye Automobile Co. China Zotye AutoNews Emerging Markets Markets Tech General Best of Benzinga

 

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