Yunnan Investment Holdings Group and BYD announced this week their intentions to open new energy vehicle manufacturing plants in the Yunnan Province, expanding BYD’s EV and new-energy businesses into southwest China and neighboring Asian countries.
The Yunnan Province, located in far southwest China, has a population of about 50 million, concentrated in about eight large cities, and borders with Myanmar, Laos, and Vietnam.
Currently, the province’s main manufacturing industries are iron and steel production, copper-smelting and commercial vehicle production. However, the province’s vast mineral and metal reserves (some of the largest in China) promise to support almost unlimited growth in manufacturing.
Yunnan also boasts an annual water supply of 222 billion cubic meters, more than ten thousand cubic meters of water per person. With projected hydropower reserves greater than 103 GW, over 70% of the electric power supply in Yunnan currently comes from water. This combination of natural resources and readily available electricity make the Yunnan Province an ideal location for electrified transportation and new energy vehicle manufacturing.
The BYD-Yunnan cooperation will follow three stages over the coming year. First, the market will be developed with BYD supplying Yunnan Investment Holdings BYD e6 electric taxis to be dispatched in the main cities of Yunnan (including Kunming, Qujin, Zhaotong, Honghe, Dali and Wenshen).
Business development will then expand into electrified urban public transportation with BYD’s GreenCity Electric buses (for public transport, tourism shuttles, government and municipal facilities transport).
Finally, with a market plan developed and base business established, BYD will work with Yunnan Investment Holding Group to set up a new-energy vehicle manufacturing base to serve all of southwest China and neighboring countries.
BYD Chairman Chuanfu Wang stated, “BYD is the only enterprise who has pure electric buses, pure electric and environmentally-friendly Iron Phosphate (Fe) battery technology in China! BYD has solid experience in the pure electric bus and electric taxi production with the largest all-electric fleets in the world – the Yunnan project will follow the ‘Shenzhen model’ and best practices forwarding the electrification of public and consumer transportation driving economic and environmental recovery for Yunnan and the surrounding regions.”