Increased stake for BAIC in Daimler

Beijing Automotive Group Co Ltd (BAIC) recently announced that it has been holding an increased stake of 9.98% in Daimler since 2019.

Baic Merc01

This holding secures the brand a board seat with the German luxury car manufacturer and emphasises the successful partnership between Mercedes-Benz and BAIC in China, thereby entrenching the long-term plans and commitment between the brands in their joint venture.

BAIC has been Daimler’s main partner in China for years and operates Mercedes-Benz factories in Beijing through the two automakers’ main joint venture, Beijing Benz Automotive. During the Daimler and BAIC partnership, China emerged as the largest global market for Mercedes-Benz, and their shared vision and focus on the shift towards electric mobility and digitalisation have further entrenched the success of this partnership.

Daimler and BAIC have been in partnership for almost two decades, and the joint venture has been a prime role model for Sino-German cooperation in the automotive industry. BAIC is the key industrial partner for Mercedes-Benz in China. Both companies have made a significant contribution to the development of the Mercedes-Benz business in China. This relationship is also sired by BAIC’s innovation and market leadership in the EV (Electric Vehicle) space.

BAIC echoes this sentiment and has welcomed this commitment to the joint successful manufacturing and development alliance in the world’s largest car market.

After 63 years of unremitting development, BAIC Automotive Group Co., Ltd. (BAIC Group) has become one of the five largest automotive groups in China. With its headquarters located in Beijing and at the Turin Styling Centre in Italy and production bases all over China, BAIC Group currently has around 130 000 employees. It is one of the automotive groups in China with the most comprehensive portfolio of products, covering the full range from passenger to commercial vehicles.

In 2018, BAIC Group achieved the promising results 2 402 000 sold units, making BAIC Group No 5 in China’s automotive sector in terms of income and profit, and No 3 in terms of brand value. Today, BAIC Group is 124th in the Fortune Global 500 and has been on the Fortune 500 list for the past 9 years.

The BAIC South Africa plant project was officially launched in December 2015. The factory construction kicked off in August 2016. The first production units of SKD vehicles came off the assembly plant floor in July 2018.

BAIC reiterates the company’s plan to become a household name in South Africa and a bigger part of the economy from an employment and skills development perspective. BAIC vehicles are set to become a popular sight on our streets, giving much needed independence and mobility to an up-and-coming market.

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