Daimler eyes joint venture with Geely Holding Group

German vehicle manufacturer Daimler AG is discussing China’s Geely Holding Group to start a joint venture to offer ride-hailing and car-sharing services in China, Bloomberg reported, mentioning sources.

The 50:50 venture is yet to be finalized, and Daimler has strategies to take on industry leader Didi Chuxing on its home turf, Bloomberg reported mentioning people familiar with the matter.

“We have a constructive dialogue with our Chinese counterparts. I believe there is potential for both and there are more opportunities than risks. The situation is promising,” stated Daimler Chief Executive Dieter Zetsche at the Paris Motor Show last week.

Geely controls a stake in Daimler and has sought an alliance in the sections of electric and autonomous vehicle technologies.