Beijing (ZXZC)- Daimler AG and China’s major automaker BAIC Group reemphasized their long-term partnership today, along with their cross-shareholding details.

Photo credit: Daimler AG

BAIC Group announced that it has been holding a stake in Daimler AG of 9.98% since 2019 through constant capital increments. Notably, Li Shufu, founder of another major Chinese automaker Geely Auto also owns 9.69% of Daimler AG's stake. 

Daimler owns a 9.55% stake in BAIC’s Hong Kong-listed unit BAIC Motor and a 2.46% stake in the Shanghai-listed BAIC BluePark, signifying the two auto groups’ profound relationship and their commitment to Mercedes-Benz’s future in China.

Per the agreement of both parties, BAIC has confirmed not to raise its stake in Daimler.

The partners believe that Daimler and BAIC’s partnership has been a role model for Sino-German cooperation for almost two decades. BAIC is also the most important industrial partner for Mercedes-Benz in China and contributed a lot to the success of the latter’s business development in the country.

R&D Tech Center China; photo credit: Daimler AG

In the past few years, BAIC Group and Daimler AG have launched a slew of premium new energy vehicles in China for the carbon-neutral cause in the country.

Mercedes-Benz is committed to going “electric only” by 2030, and China plays a major role in this strategy. By the end of 2021, Mercedes-Benz will introduce four battery-electric models to China, namely the EQA, EQB, EQC, and EQS.

Currently, the EQA, EQB, and EQC have already realized local production in the country, while the localization of the EQE is planned for next year.