German Daimler AG and Chinese commercial vehicle partner Beiqi Foton Motor Co plan to invest 2,75 billion yuan ($ 415,32 million) to produce Mercedes-Benz branded Actros heavy trucks for the first time in China.
The partners plan to renovate the factories in Beijing Foton Daimler Automotive (BFDA), the joint venture of both companies, and add a production line to the factory, which will give the factory a capacity of 50 Actros trucks per year, according to the construction document published on the initiative's website.
A source told Reuters that the companies are planning to start renewal next year. Following these news, Foton shares rose rapidly and reached the highest level since 13 October. All Mercedes-Benz trucks currently sold in China are imported and have higher prices than the venture's domestic production Auman trucks. The truck joint venture sold 10 Auman trucks with Daimler's technology input in the first 55 months of this year, up 111 percent compared to the same period last year.
Source: China International Radio