Magna International (NYSE:MGA) says it plan to form two new joint ventures with Beijing Electric Vehicle Co. for complete vehicle manufacturing as well as engineering of electric vehicles.
Beijing Electric is a subsidiary of the BAIC Group (OTC:BCCMY) for electric cars..
Over the coming months, Magna and BJEV will work with authorities to implement legally binding joint-venture agreements which will govern the operations of these two joint ventures.The engineering and manufacturing joint ventures are expected to take over an existing BAIC manufacturing facility in Zhenjiang, Jiangsu Province, where the first production vehicles are planned for 2020. The plant has the capacity to build up to 180K vehicles per year.
"These joint venture operations mark an historic milestone for Magna. For the first time we will be providing our customers with cars engineered and built outside our complete vehicle manufacturing facility in Graz, Austria,” says Magna CEO Don Walker.
Source: Press Release
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