Wanxiang to get government OK for EV output
Wanxiang Group Co., a leading Chinese supplier of steering and chassis components, is on track to receive the central government's approval to produce electric vehicles.
The Web site of China's Ministry of Industry and Information Technology says the ministry is soliciting public comments for its plan to grant production licenses to three companies.
The licenses would allow Wanxiang to produce EVs and two other companies to make construction equipment.
The ministry regulates the domestic auto industry along with other industrial sectors. If no strong public objections emerge, it will issue production licenses.
Earlier this year, Wanxiang acquired most of the assets of A123 Systems LLC, a Massachusetts-based supplier of lithium ion batteries.
Wanxiang's chairman and founder, Ru Guanqiu, has long harbored ambitions to produce entire vehicles, not just components.
Wanxiang, headquartered in Hangzhou of east China's Zhejiang province, also produces farm equipment. Last year, the company generated sales of 116.5 billion yuan ($19 billion) and profits of 7.6 billion yuan.
The licenses would allow Wanxiang to produce EVs and two other companies to make construction equipment.
The ministry regulates the domestic auto industry along with other industrial sectors. If no strong public objections emerge, it will issue production licenses.
Earlier this year, Wanxiang acquired most of the assets of A123 Systems LLC, a Massachusetts-based supplier of lithium ion batteries.
Wanxiang's chairman and founder, Ru Guanqiu, has long harbored ambitions to produce entire vehicles, not just components.
Wanxiang, headquartered in Hangzhou of east China's Zhejiang province, also produces farm equipment. Last year, the company generated sales of 116.5 billion yuan ($19 billion) and profits of 7.6 billion yuan.
