Beijing Auto to form new alternative-fuel vehicle subsidiary

Beijing Automotive Industry Holding Co. (BAIC) is expected to form a new subsidiary in November that will specialize in alternative-fuel vehicles, reports SinoCast Transportation Beat. BAIC will launch its first indigenously developed alternative-fuel vehicle onto the Chinese market on October 30, 2009. The model will be mass produced in the country starting in 2011. The new JV will involve an overall investment of 100 million yuan (US$14.64 million), with Beiqi Foton contributing 10 million yuan (US$1.46 million), BAIC 24 million yuan (US$3.51 million), Pulead Technology Industry 41 million yuan (US$6 million) and Dongguan BVT Technology the remaining 25 million yuan (US$3.66 million). (October 26, 2009)