Changan Automobile and BYD sign strategic cooperation agreement

Chinese automaker Changan Automobile and BYD signed a strategic cooperation agreement today in Shenzhen to collaborate on new-energy vehicle, intelligent and connected vehicle as well as car-sharing.

"This cooperation has strategic significance to the development of BYD's battery business and long-term development of our company," said BYD founder and chairman Wang Chuanfu.

Zhang Baolin, president of Changan Automobile, said the cooperation will transform his company from a traditional car manufacturer to a technology company with intelligent products and services.

BYD said the companies will collaborate to achieve a winning proposition by tapping each other's expertise in platform, technology, management, production and marketing. 

They also plan to establish a joint venture, to be based in Chongqing, to produce and sell batteries for new-energy vehicles, and Changan Automobile will become a shareholder of BYD's battery business unit.

The two companies agreed to conduct in-depth research on battery recycling, fast charging and battery swap to improve their capabilities in the new-energy vehicle sector.

The collaboration will also benefit Changan Automobile brand and accelerate its development in the new-energy vehicle sector, Zhang said.

The two partners will also set up a car-sharing business in which consumers can drive BYD's new-energy vehicles by using Changan Automobile's car-sharing platform.

The two companies will also cooperate in intelligent and connected vehicles and autonomous driving.