Kaixin's shares rose over 30 percent in early trading after the announcement.

Kaixin Auto Holdings, a US-listed Chinese used car dealership, announced today that it has entered into a partnership agreement with Beijing Bujia International Logistics Limited, which has agreed to order at least 10,000 new energy trucks from it over the next five years.

The total amount of the intended order is more than $500 million, Kaixin said in an announcement posted on its website.

Bujia is China's leading automotive new retail logistics and service terminals platform. Over the next 5 years, it plans to establish 300 automotive logistics transfer warehouses and 1,000 automotive terminal delivery centers, Kaixin said.

Bujia will integrate a fleet of more than 60,000 delivery trucks participating in its logistics operations, of which new energy trucks will account for no less than 30 percent, the announcement said.

"This is the first major sales order obtained by Kaixin's NEV business unit, which enhances our confidence to expand into the NEV area. Our R&D team is working on product design that satisfies Bujia’s needs and is expected to be ready for release by first quarter of next year," said Lin Mingjun, Chairman and CEO of Kaixin.

Kaixin's shares rose over 30 percent in early trading after the announcement.

Kaixin Auto says it gets over $500 million in new energy truck orders-CnEVPost

On August 6, Kaixin said it had decided to set up a NEV business unit that will include NEV R&D, production and marketing teams.

The move was based on steady support from the Chinese government for the rapid growth of the EV industry and the rapid development of China's EV sector, the company said, adding that it was then in talks with several EV manufacturers about mergers and acquisitions.

On August 26, the company said it entered into a binding investment agreement with local EV maker Henan Yujie Times Automobile Co Ltd to acquire 100 percent of the latter through the issuance of new shares.

On December 1, Kaixin unveiled its NEV strategic plan, saying it will rapidly expand its NEV team.

Kaixin Auto unveils strategic plan for NEVs

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