Mexican Media Brands
VW May Buy Large Stake in Chinese EV Partner
Volkswagen AG is mulling a plan to buy a major stake in Chinese electric-car maker Anhui Jianghuai Automobile Group, sources tell Bloomberg News.
#hybrid
Share
Volkswagen AG is mulling a plan to buy a major stake in Chinese electric-car maker Anhui Jianghuai Automobile Group, sources tell Bloomberg News.
They say VW has retained Goldman Sachs Group to evaluate the potential investment in JAC.
The two carmakers currently operate a 50:50 joint venture to make EVs for the Chinese market. Bloomberg notes that VW aims to directly acquire equity in JAC rather than increase its ownership of their joint venture.
The option to do the latter was is made possible because of a central government policy that has loosened the 50% cap on foreign ownership of carmaking operations. The measure currently applies only to EV companies but will expand to commercial vehicle operations in 2020 and general carmaking in 2022.
Bloomberg sees VW’s would-be investment in JAC, a relatively small carmaker, as a strategic move more likely to succeed than a deal with one of VW’s much larger Chinese partners, SAIC and FAW.
RELATED CONTENT
-
Internal Combustion Engines’ Continued Domination (?)
According to a new research study by Deutsche Bank, “PCOT III: Revisiting the Outlook for Powertrain Technology” (that’s “Pricing the Car of Tomorrow”), to twist a phrase from Mark Twain, it seems that the reports of the internal combustion engine’s eminent death are greatly exaggerated.
-
2018 Chevrolet Bolt EV Premier
There are two ways to consider the Chevy Bolt. One is the car. The other is the environment it exists in.
-
Startup Readies Solar-Powered EV
Germany’s Sono Motors GmbH says it has received 5,000 orders for its upcoming Sion electric car, which can be partially recharged by it attached solar panels.