Ford signed $756 million contract with Zotye to build electric vehicle plant in China

Almaty. November 9. Silkroadnews - Ford signed $756 million contract with Zotye to build electric vehicle plant in China, Detroit Free Press reported.
“Ford signed a joint venture agreement with Zoyte Auto to build, market and distribute all-electric passenger vehicles in China under a new Chinese brand. The deal creates Zotye Ford Automobile Co. Ltd.,” the report says.
The negotiations on the establishment of the joint venture company have been carried out since August.
China, being focused on air pollution reduction, is the world’s leading market for electric vehicles. The government strives to have 40% of the new cars bought in China to be fully electric or hybrid by 2030. About half of the 700,000 electric vehicles sold worldwide in the past year were sold in China.
According to Ford, the joint venture will use a combined investment of about $756 million. Earlier this year, Ford announced at least 70% of Ford vehicles sold in China would be electric vehicles by 2025. The last step is part of Ford’s strategy to strengthen its presence at the global level, especially in China, the world’s largest automotive market.
Zotye Ford plans to build a specialized research and development center, as well as its own sales and service network. The new plant will be built in Zhejiang Province, south of Shanghai.
Zotye Auto is the market leader in electric vehicles in China, selling more than 22,500 electric vehicles from January to November, which is 14% more than last year.