China-based BYD to place U.S. headquarters in Los Angeles

BYD Company, a Chinese auto and battery maker which is financially backed by billionaire Warren Buffet, has announced that it will make its North American headquarters in Los Angeles, California. BYD plans to sell electric vehicles and the associated batteries in the U.S. market in 2011.



Bloomberg reported on a joint announcement made by California Governor Arnold Schwarzenegger, Los Angeles Mayor Antionio Villaraigosa and BYD chairman Wang Chuanfu, revealing Los Angeles as the location of future headquarters and storage location for BYD's solar-panel and battery storage business.

BYD, which does not currently sell vehicles in the U.S. market, plans to begin selling its e6 electric hatchback to fleet users in the California market by the end of 2010. From there, BYD hopes to expand nationwide and increase its product offerings to include more models.

"By the end of next year, the plan is to offer several models," said senior vice president of BYD, Stella Li.

BYD does not yet have a distribution partner to sell its vehicles, but said during the press conference in Los Angeles that it is in talks with Penske Motor Group about a possible deal.

BYD has not yet revealed any specifics regarding the pricing, specifications or features of the electric vehicles it plans to sell in the U.S.

A welcome addition
Los Angeles deputy mayor, Austin Beutner, said that the impact from BYD choosing Los Angeles will include 150 direct hires by the Chinese company in 2010, and an additional 1,000 or more positions in the Los Angeles area that will be related to both vehicle sales and support, as well as solar-panel installation.

According to Bloomberg, BYD is already engaging in negotiations with the Los Angeles Department of Water and Power about a 10-megawatt iron-phosphate-based battery system for the city.

References
1. 'Buffet-backed BYD puts U.S....' view