https://thedailyguardian.com/merced...-byd-as-chinese-automaker-takes-full-control/
Mercedez Benz
Mercedes-Benz has officially exited its electric vehicle joint venture with BYD, the German luxury carmaker announced on Tuesday. The company has sold its remaining 10 percent stake, having previously reduced its holdings in the venture back in 2021. With this sale, BYD now has complete control over the joint venture, although neither automaker disclosed the deal’s value.
The partnership focused on developing and manufacturing luxury electric vehicles under the Denza brand, which is now fully owned by BYD. Mercedes-Benz clarified that its technology has not been integrated into the current Denza models.
This decision marks the end of a 13-year collaboration between Mercedes-Benz and BYD. The joint venture was formed in 2011, with both companies initially holding equal 50 percent stakes, and it was registered as Shenzhen BYD New Energy Co. Despite its focus on premium electric cars, poor sales prompted Mercedes-Benz to reduce its stake to 10 percent in 2021 and now to divest entirely.
Denza is currently preparing to launch its Z9GT model later this week, priced at $47,900. The brand has also seen some success with its D9 minivan, which became the best-selling model in its category in China in 2023.
Mercedes-Benz’s departure comes at a challenging time when many global automakers are scaling back their investments in the world’s largest automotive market. Additionally, this decision coincides with rising tariffs on made-in-China electric vehicles globally. The European Union has proposed a 36.3 percent tariff on these cars, while Canada has imposed a 100 percent import duty, escalating trade tensions between China and European nations.
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Mercedes-Benz Exits Luxury EV Partnership With BYD As Chinese Automaker Takes Full Control
The partnership focused on developing and manufacturing luxury electric vehicles under the Denza brand, which is now fully owned by BYD.
- Updated on: September 18, 2024, 2:15 pm IST
Mercedez Benz
Mercedes-Benz has officially exited its electric vehicle joint venture with BYD, the German luxury carmaker announced on Tuesday. The company has sold its remaining 10 percent stake, having previously reduced its holdings in the venture back in 2021. With this sale, BYD now has complete control over the joint venture, although neither automaker disclosed the deal’s value.
The partnership focused on developing and manufacturing luxury electric vehicles under the Denza brand, which is now fully owned by BYD. Mercedes-Benz clarified that its technology has not been integrated into the current Denza models.
This decision marks the end of a 13-year collaboration between Mercedes-Benz and BYD. The joint venture was formed in 2011, with both companies initially holding equal 50 percent stakes, and it was registered as Shenzhen BYD New Energy Co. Despite its focus on premium electric cars, poor sales prompted Mercedes-Benz to reduce its stake to 10 percent in 2021 and now to divest entirely.
Denza is currently preparing to launch its Z9GT model later this week, priced at $47,900. The brand has also seen some success with its D9 minivan, which became the best-selling model in its category in China in 2023.
Mercedes-Benz’s departure comes at a challenging time when many global automakers are scaling back their investments in the world’s largest automotive market. Additionally, this decision coincides with rising tariffs on made-in-China electric vehicles globally. The European Union has proposed a 36.3 percent tariff on these cars, while Canada has imposed a 100 percent import duty, escalating trade tensions between China and European nations.
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