Shanghai (ZXZC)- Zhejiang Geely Holding Group (“Geely Holding”) and local authorities of Tianjin Economic-Technological Development Area (“TEDA”) intend to jointly launch an industrial fund focusing on the investment in the automotive industry, according to a statement issued by TEDA.

The latest move marked one of the projects TEDA signed on Mar. 6.

Photo credit: Geely Holding

The fund will be set up to invest in the cutting-edge technologies and leading companies from such auto-related fields as automobile, new energy vehicle, integrated circuits, and V2X (vehicle-to-everything).

The initial-phase of the fund is expected to worth 1 billion yuan ($144.76 million). Geely Holding has already completed the fund structure building for the projects it intends to invest in.

Zhejiang Geely Industrial Investment Holding Co., Ltd., a wholly-owned subsidiary of Geely Holding, set up Geely (Tianjin) Private Equity Fund Management Co., Ltd. in TEDA last year and has completed registration with the Asset Management Association of China. The establishment of the Tianjin-based subsidiary is part of preparations for Geely to launch the aforesaid industrial fund.

Aside from Geely’s project, TEDA also inked an agreement on March 6 to introduce the “German Volkswagen Transmission APP550 Electric Motor Project”, under which the first phase will involve an investment of €150 million to build new electric motor production lines with a designed production capacity of 330,000 units per year.