Currently reading: BYD buys Mercedes-Benz stake in Denza joint venture

Chinese giant takes full control of brand – which was originally a 50:50 effort – as it plants roots in Europe

BYD has bought out the remainder of Mercedes-Benz’s stake in Denza, which was co-founded by the Chinese and German companies in 2010.

Its acquisition of the 10% share (for an undisclosed amount) means it has taken full control of the premium electric car brand.

Denza was originally a 50:50 joint venture between BYD and Mercedes, but the former upped its stake to 90% two years ago.

The move comes as Denza begins to lay the groundwork for its entry into the European market.

Its European product chief, Yi Sun, told Autocar in July that BYD was in “discussions with potential dealers”, and the brand previously tested its flagship Z9 GT in Mercedes’ home city of Stuttgart.

“BYD wants to be global, so we have to present ourselves in all major markets,” Sun said.

The Z9 GT is set to be the first car Denza sells in Europe, positioned as a rival for the BMW i5. Distinguished by its shooting-brake body, it measures 5180mm long and in top specification packs a tri-motor powertrain that sends 952bhp and 1018lb ft through all four wheels.

Autocar understands that Denza will also offer a rebadged version of sibling brand Fangchengbao’s Bao 5 4x4, which uses a range-extender powertrain. 

This strategy mirrors that of the BYD brand, which plans to offer both electric cars and hybrids in order to capture as much of the European market as possible. 

Explaining the strategy, BYD president Stella Li told Autocar: “A lot of people want to try electric cars, but currently they have range anxiety and hesitate. This car [the Seal U DM-i PHEV] gives them the solution.”

Li added: “China is the leading country for the new-energy [electrified] car, and the yearly penetration of EVs is 40%, but more than 50% is PHEV - and our data shows that mainstream people use PHEV as the first experience for EVs.”

Charlie Martin

Charlie Martin Autocar
Title: Editorial assistant, Autocar

As part of Autocar’s news desk, Charlie plays a key role in the title’s coverage of new car launches and industry events. He’s also a regular contributor to its social media channels, providing videos for Instagram, Tiktok, Facebook and Twitter.

Charlie joined Autocar in July 2022 after a nine-month stint as an apprentice with sister publication What Car?, during which he acquired his gold-standard NCTJ diploma with the Press Association.

Charlie is the proud owner of a Fiat Panda 100HP, which he swears to be the best car in the world. Until it breaks.

Add a comment…