Mercedes-Benz and Geely announce joint ownership of Smart
Mercedes-Benz and Geely have entered a formal partnership in the Smart city car brand, it has been confirmed today.
The £590 million equal-stake joint venture will see Mercedes and Geely working together to develop all-new Smart electric vehicles from 2022. Production of these new vehicles is due to take place at Geely’s facility in China.
However, these next-generation vehicles will be styled by Mercedes, though the firm’s headquarters will be located in Ningbo, China. The company’s board will consist of six members with equal representation from both parties.
Ola Källenius, Chairman of the Board of Management of Daimler AG and Mercedes-Benz AG, said: “Having received all necessary regulatory approvals we are now ready to start the joint venture with our partner Geely that has been in preparation for the past several months. The joint venture will bring the next generation of zero-emission smart electric cars to the Chinese and global markets. We look forward to continue our collaboration to bring desirable products and services to customers around the world.”
Until 2022, Smart models will continue to be produced at its production facilities in Hambach, France and Novo Mesto, Slovenia.
The firm has stated that as part of its vehicle development program, it will be entering into the b-segment – which would see a Smart-branded rival to the likes of the Volkswagen ID.3. and Renault Zoe produced.