© faraday future Electronics Production | March 25, 2019
Faraday Future and The9 Limited form JVA
Faraday Future signed a joint venture agreement with The9 Limited, a China-based Internet company, which will serve the China market with manufacturing, marketing, distribution and sale of Faraday Future’s new luxury EV V9 model.
The new V9 is based on the technology and design concepts of Faraday’s flagship FF 91, according to a press release. In the release, Faraday said that under the terms of the agreement, the company will contribute to the joint venture including Faraday’s use rights in a piece of land located in China for EV manufacturing and an exclusive license to manufacture, market, distribute and sell Faraday Future’s new brand V9 model with the potential option for future vehicles in China. The joint venture will make The9 a 50% partner with control over specific strategic business operations; additionally, The9 will make USD 600 million in total capital contributions, contingent on the fulfillment of specified funding conditions. It is estimated that the deal will result in 300,000 cars annually, with the first pre-production car expected to roll off the line in 2020. Further strategic actions for FF will support the completion and launch of its “new species of vehicle mobility,” FF 91 EV in 2019 and continue development of the mass-market premium FF 81 under its dual-home-market and dual-brand strategy in the U.S. and China. FF is readying the ultra-luxury FF 91 flagship final production later this year and has plans to establish a team of integrated global R&D employees to support its vendor and supply chain.