Joint venture Beijing Foton Daimler Automotive Co., Ltd. (BFDA) to produce and distribute Mercedes-Benz trucks in China. Based on Daimler Trucks platform strategy, new heavy-duty truck “Made in China, for China”. Vehicles will get state-of-the-art Daimler Trucks technology. Start of production planned in two years from now in new BFDA truck plant in Huairou. Investment of more than 3.8 billion RMB (over 485 million euros) by joint venture BFDA for acquisition of new plant and set-up of new infrastructure and production lines. Leveraging the potential of the world’s largest truck market, China sales expected to contribute to Daimler Trucks’ global development
Beijing / Stuttgart – Daimler Truck AG and Beiqi Foton Motor Co., Ltd. jointly announced that both partners will produce and distribute Mercedes-Benz tractors for an advanced market segment in China. Based on Daimler Trucks’ global platform strategy, the companies’ joint venture Beijing Foton Daimler Automotive Co., Ltd. (BFDA) will localize new heavy-duty tractor models “Made in China for China”, fully adapted to Chinese customers’ requirements. The vehicles will get state-of-the-art Daimler Trucks technology. Start of production of the heavy-duty tractor models is scheduled in two years from now in a new truck plant in Huairou (Beijing) owned by BFDA. The joint venture invests of more than 3.8 billion RMB (over 485 million euros) for the acquisition of the plant and the set-up of new infrastructure and production lines.
At the same time Daimler Truck will continue to import and sell other models of its Mercedes-Benz portfolio both through the existing dealer network and direct wholesale to answer the customers need for top-of-the-line trucks for special applications – for example concrete pumps for China’s rapidly growing construction sector.
The new heavy-duty Mercedes-Benz tractors for China will fully capitalize on Daimler Trucks’ platform strategy and will be powered by a state-of-the-art engine from Daimler Trucks global powertrain unit. The new Mercedes-Benz tractors will be fully adapted to the specific requirements of varied Chinese customers.
Daimler Trucks and Foton plan full-fledged local production to start operation in two years from now, supported by a local supplier base, which will be further strengthened over the coming years. Details on the product specifics and its market introduction will be announced at a later time.
“At Daimler Trucks it’s our strategic goal to lead globally and to create value for our customers around the world. China, the world’s largest truck market, is of utmost importance to us and has become one of our important markets for future growth. In order to make full use of this potential, we made the decision to locally produce Mercedes-Benz heavy-duty tractors in China for China,” said Martin Daum, CEO of Daimler Truck AG. “We’re convinced what we’re announcing today is the right strategic move for the right market at exactly the right point in time.”
Hubertus Troska Member of the Board of Management of Daimler AG responsible for Greater China: “We aim to grow in China and with China. That applies to our passenger car as well as our commercial vehicle business. The Chinese truck market is undergoing a transformation, especially in the long haul transportation market. The growing e-commerce and logistics industry offer great opportunities. We believe in the further growth potential of the truck market in China and we are determined to contribute to its long-term development. Today not only marks a big milestone in Daimler’s localization strategy but also an excellent example of Sino-German cooperation.”
