After NIO, BYD has become the latest car company to build new energy vehicle projects with the city of Hefei in east China.
Yu Aihua, the Communist Party chief of Hefei, recently held talks with BYD CEO Wang Chuanfu to promote a comprehensive strategic partnership, according to an announcement posted on the local government's WeChat account.
Both sides believe that Hefei has formed a good intelligent electric vehicle industry and is an ideal partner for innovative companies, while BYD has strong technology and customer base, according to the announcement.
The "relevant project" between the two will start construction at the end of August, the announcement said.
The announcement did not reveal more details about the project, but there are rumors that the project, which could be BYD's bus and new energy vehicle production line, will be built in Xiaotang Town, Changfeng County, with an investment of up to RMB 20 billion ($3.1 billion).
It is worth noting that BYD's new energy power battery production base project has been located in Hefei since the end of 2020.
The project, with a total investment of RMB 6 billion, is mainly about the manufacturing of new energy battery cells, modules, and other important products.
BYD is a leading company in China for new energy vehicle manufacturing, lithium battery, consumer electronics foundry, power semiconductor, new energy, and a new type of track.
Up to now, BYD has more than 23,500 patents and has ranked first in China in new energy vehicle sales for 8 consecutive years.
At present, Hefei has brought together more than 120 new energy vehicle enterprises and formed a complete industrial chain.
From January to May this year, the city produced 45,600 new energy vehicles, up 2.4 times year-over-year, and the output value increased 63.6 percent year-over-year.