What happened: Chinese automaker Geely, which holds investments in Daimler and Volvo, has launched a premium electric vehicle (EV) brand as it seeks to boost production of new energy vehicles. Dubbed Geometry, the brand will focus on China but will also take orders overseas, with plans to launch 10 electric models by 2025. According to the company, customers have already placed 26,000 orders for its first model, the Geometry A.
Why it’s important: Geely is pushing aggressively into the EV market. In March, the company took a 50% stake in Daimler’s microcar brand Smart through a joint venture. The two companies will build a factory in China, and the vehicles are expected to go on sale by 2022. Geely is responding to an expected rise in demand for new energy vehicles that comes as China imposes limits on the production of petrol cars to reduce smog. Global automaker spending on EVs is expected to surge by $300 billion in the next five to 10 years. Of that figure, nearly half will target China, the world’s largest auto market.