SAIC technology venture starts operations

A “new energy car technology” venture founded by the Shanghai Automotive Industry Corp. (SAIC) Group and a subsidiary, SAIC Motor Corp. Ltd., started operations in Shanghai. The venture, called Shanghai Jieneng Automotive Technology Co., will focus on the development of power and control system integration for hybrid and electric vehicles. According to Zhu Jun, general manager of Shanghai Jieneng, SAIC Group will budget six billion yuan (US$876 million) to develop hybrid and electric cars, which it hopes to put into mass production by late 2010. The group has invested 540 million yuan (US$78 million) for a 90% stake in Shanghai Jieneng with SAIC Motor holding the remaining 10% for its parent company. (January 8/9, 2009)