BAIC Group and Daimler Group signed a letter of intent on promoting their relationship to an all-round strategic partnership on November 2.

The letter of intent covers group-level partnership, and promises support to each other’s further investment, discussion on further technology support and their partnership in the new energy vehicle field, in an aim to improve their competitiveness in the Chinese market.

BAIC and Daimler have established an eight-year-long partnership, and have conducted comprehensive cooperation in the fields like passenger vehicles and commercial vehicles. The two sides signed a cooperation framework agreement on projects such as a new engine plant and R&D center this June.

BAIC’s chairman Xu Heyi said that the two sides enhanced their trust on each other through the past eight years, and they felt they could deepen and widen their cooperation. He believes the two sides will make greater achievements through the all-round strategic partnership.

Daimler’s chairman and CEO for Northeast Asia said that Daimler has confidence in Chinese market, and it is willing to develop together with BAIC Group and achieve a win-win.

Daimler has also signed a joint venture with BYD to develop a new range of electric vehicles for use within China and export markets.