Mercedes boss Dieter Zetsche has denied that Chinese car maker BYD’s current financial problems will affect the planned electric car the two companies are currently developing together.
It will be launched under a new brand name, be produced in China from 2013 and uses some of the architecture of the outgoing B-class hatch.
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BYD has recently admitted that it has huge debts but Zetsche is unfazed.
“We are confident of future development with BYD,” he told Autocar. “It has recently faced setbacks and challenges but that is a normal and inevitable part of developing into a mature company.”
Recent rumours suggest that Merc is having to financially prop up BYD in order that development of the new car can continue as planned, but no-one at Mercedes was prepared to comment, save that the all-new electric car is “still on track”.
Chas Hallett
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