Daimler AG Signs Memorandum of Understanding with BYD Company Limited to Establish a Technology Partnership for Electric Vehicles in China

STUTTGART, Germany and HONG KONG March 1 /PRNewswire-FirstCall/ -- Daimler AG (stock ticker symbol: DAI) today signed a Memorandum of Understanding (MoU) with BYD Company Limited (1211.HK) to enter into a comprehensive technology partnership for the development of electric vehicles for China.

(Logo: http://www.newscom.com/cgi-bin/prnh/20080409/NYW017LOGO )

Under the agreement, Daimler and BYD intend to develop a new electric vehicle specific to the requirements of the Chinese market. The vehicle will be marketed under a new brand jointly created and owned by Daimler and BYD. In addition, a common technology center will be established in China to develop, design and test this electric vehicle.

"With this announcement, we continue to push ahead as a global leader in electric mobility. Daimler's know-how in electric vehicle architecture and BYD's excellence in battery technology and e-drive systems are a perfect match. Thus, we will be able to participate in the potential growth of electric mobility in China, currently the largest auto market of the world", said Dr. Dieter Zetsche, Chairman of the Board of Management of Daimler AG and head of Mercedes-Benz Cars.

"With this technology partnership, we have created a win-win business model with complimentary competences.  We are very excited about this opportunity to work together with Daimler, the inventor of the automobile", said Mr. Wang Chuanfu, Chairman and President of BYD Company Limited.

Daimler is a leader in developing automotive architectures for zero-emissions driving. The company recently launched the smart electric drive and in 2010 will introduce an all-electric version of the Mercedes-Benz A-Class.

"Electric vehicles are especially well-suited for urban driving. With its many metropolitan areas, China has the potential to be among the world's largest markets for zero-emission vehicles. Daimler and BYD will accelerate the growth of electric mobility in China", jointly stated Chairman Wang and Dr. Zetsche.

BYD is China's leading manufacturer in developing advanced battery technology, a field it has invested in since 1995. The company has enjoyed rapid growth after entering the automotive sector in 2003.  It is the fastest growing Chinese automotive manufacturer.  BYD introduced its F3DM dual-mode hybrid electric vehicle to the world in December 2008.  Soon, the company will officially launch the e6, a pure electric vehicle.

The companies' understanding also includes further discussions on additional business opportunities of mutual interests.

Further information on Daimler is available on the internet at: http://media.daimler.com

This document contains forward-looking statements that reflect our current views about future events. The words "anticipate," "assume," "believe," "estimate," "expect," "intend," "may," "plan," "project," "should" and similar expressions are used to identify forward-looking statements. These statements are subject to many risks and uncertainties, including a lack of or a considerable delay in improvement or a further deterioration of global economic conditions; a continuation or worsening of the tense situation in the credit and financial markets, which could result in ongoing high borrowing costs or limit our funding flexibility; changes in currency exchange rates and interest rates; the introduction of competing, fuel-efficient products and the possible lack of acceptance of our products or services, which may limit our ability to adequately utilize our production capacities or raise prices; price increases in fuel, raw materials and precious metals; disruption of production due to shortages of materials, labor strikes, or supplier insolvencies; a further decline in resale prices of used vehicles; the effective implementation of cost-reduction and efficiency-optimization programs at all of our segments, including the repositioning of our truck activities in the NAFTA region and in Asia; the business outlook of companies in which we hold an equity interest, most notably EADS; changes in laws, regulations and government policies, particularly those relating to vehicle emissions, fuel economy and safety; the resolution of pending governmental investigations and the outcome of pending or threatened future legal proceedings; and other risks and uncertainties, some of which we describe under the heading "Risk Report" in Daimler's most recent Annual Report and under the headings "Risk Factors" and "Legal Proceedings" in Daimler's most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission. If any of these risks and uncertainties materialize, or if the assumptions underlying any of our forward-looking statements prove incorrect, then our actual results may be materially different from those we express or imply by such statements. We do not intend or assume any obligation to update these forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made.

About Daimler

Daimler AG is one of the world's most successful automotive companies. With its divisions Mercedes-Benz Cars, Daimler Trucks, Mercedes-Benz Vans, Daimler Buses and Daimler Financial Services, the Daimler Group is one of the biggest producers of premium cars and the world's biggest manufacturer of commercial vehicles with a global reach. Daimler Financial Services provides its customers with a full range of automotive financial services including financing, leasing, insurance and fleet management.

The company's founders, Gottlieb Daimler and Carl Benz, made history with the invention of the automobile in the year 1886. As an automotive pioneer, Daimler continues to shape the future of mobility. The Group applies innovative and green technologies to produce safe and superior vehicles which fascinate and delight its customers. With the development of alternative drive systems, Daimler is the only vehicle producer investing in hybrid drive, electric motors and fuel-cell systems, with the goal of achieving emission-free mobility in the long term. This is just one example of how Daimler willingly accepts the challenge of meeting its responsibility towards society and the environment.

Daimler sells its vehicles and services in nearly all the countries of the world and has production facilities on five continents. Its current brand portfolio includes, in addition to the world's most valuable automotive brand, Mercedes-Benz, the brands smart, Maybach, Freightliner, Western Star, Fuso, Setra, Orion and Thomas Built Buses. The company is listed on the stock exchanges of Frankfurt, New York and Stuttgart (stock exchange symbol DAI). In 2009, the Group sold 1.6 million vehicles and employed a workforce of more than 256,000 people; revenue totaled euro 78.9 billion and EBIT amounted minus euro 1.5 billion.

SOURCE Daimler Corporate Communications

WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?

440k+
Newsrooms &
Influencers

9k+
Digital Media
Outlets

270k+
Journalists
Opted In

GET STARTED