Neta and LK Technology will jointly develop a die-casting machine in the 20,000-ton class, which is expected to reduce the manufacturing time of vehicle chassis from 1-2 hours to 1-2 minutes.

(Image credit: Neta)

Neta will also purchase several large die-casting machines from LK Technology and will form a joint venture to build a die-casting demonstration manufacturing base in Anhui province in eastern China.

Integrated die-casting equipment can integrate otherwise dispersed components, significantly reducing the number of parts in a vehicle and lowering manufacturing costs compared to traditional manufacturing methods, Neta's press release noted.

The technology can reduce the manufacturing time for a vehicle chassis from the traditional 1-2 hours to 1 to 2 minutes, and help reduce the weight and improve the comfort of the vehicle, Neta said.

Creating a 20,000-ton die-casting facility is significant in scaling down costs and will help the company achieve its goal of selling more than 1 million vehicles globally by 2026, Neta said.

Neta was founded in October 2014 and it launched its first model in November 2018, making it one of the first new car-making forces in China.

The company plans to enter more than 50 countries and regions by 2024 and aims to sell 100,000 units overseas next year, it said earlier this year.

Neta aims to transform itself into a global high-tech technology company by 2026 and reach 1 million sales in global markets, it said on October 30.

LK Technology is a major global manufacturer of die-casting machines with a market share of more than 50 percent in the Chinese mainland, according to the company.

Several Chinese EV makers have now introduced large die-casting machines, with Xpeng building the front and rear bodies of the X9 with one 7,000-ton die-casting machine and one 12,000-ton die-casting machine at its Guangzhou plant.

CnEVPost visited the plant earlier this month to see the two large die-casting machines and learned that Xpeng will start putting a new 16,000-ton die-casting machine into operation in mid-January.

Tesla Shanghai plant produces Model Y with integrated die casting that significantly reduces costs