Beijing Electric Vehicle Co., Ltd. (BEVC) controlled by BAIC Group signed a strategic cooperation agreement with Xiezhong International Holdings Ltd. based in Hong Kong on July 31 to jointly develop HVAC systems for new energy vehicles, according to a report on Takungpao.com.
Zheng Gang, president of BEVC, said that the cooperation will help the two companies to achieve the goal of sharing resources and improving competitiveness.
The two companies already worked together earlier on the supply chain business, according to Zheng.
BHAP HK Investment Ltd., an overseas subsidiary of Beijing Hainachuan Automotive Parts Co., Ltd. (BHAP) under BAIC Group, acquired 33.16 percent of Xiezhong International equities in July, becoming the largest shareholder of the Hong Kong-based company.
Han Yonggui, chairman of BHAP, predicts that BAIC Group executives will join the board of Xiezhong International very soon.