Bosch to help BAIC develop transmission for its own brand cars
Robert Bosch GmbH will provide the knowhow as well as engineering support to Beijing Automotive Industry Group Corp. to help the Chinese automaker develop a continuously variable transmission (CVT) for its own brand cars.
The two companies signed an agreement last week on the joint CVT development project, says Bosch in a statement. Bosch doesn't disclose the value of the contract.
According to the source inside Bosch, the contract signed last week only covers the development of a CVT prototype by Bosch for BAIC.
The two sides still need to hold more talks on how to proceed with the joint CVT project beyond that stage, the source added.
BAIC, a state-owned company running joint ventures with Hyundai Motor Co. and Daimler AG, has made only vaguely worded statements saying it plans to roll out its first self brand sedan in 2010.
The CVT to be developed with Bosch's technology will be used in BAIC's "medium and high class cars," Bosch says in the statement.
Further details about BAIC's plan to build its own brand cars are not available.
