FRANKFURT/BEIJING: Daimler on Thursday said it would develop its next generation of Smart electric vehicles in China through a joint venture with rival Geely, deepening an alliance between the two carmakers.
Daimler said it would build the next generation of Smart branded city cars at a purpose-built factory in China, and would share its expertise in manufacturing, engineering and design with Geely.
Daimler and Geely did not disclose financial terms of the deal. The details of the joint venture will be finalised by the end of 2019, the companies said in a joint press release.
Last month Daimler's Chief Executive Dieter Zetsche said the German carmaker would deepen its alliance with shareholder Geely after Geely's chairman Li Shufu bought up a 9.69 percent stake in Daimler in 2018.
Last year Daimler and Geely set up a ride-hailing joint venture in China.
(Reporting by Edward Taylor in Frankfurt and Nori Shirouzu in Beijing; editing by Thomas Seythal and Emelia Sithole-Matarise)