Beijing Automotive Industry Company (BAIC) has signed an agreement with US based Boston-Power for the supply of battery systems to the Beijing Electric Vehicle Company (BJEV), the electric vehicle arm of BAIC. Under the multi- year contract Boston Power will supply batteries for a large number of BAIC vehicles starting with the C70 in the fourth quarter of 2012. The BAIC C70 is based on the SAAB 9-5 chassis for which they have acquired the right back in 2009.

Additionally Boston Powers has announced $125 million in funding from Chinese investors and are currently planning the building of an R&D and electric vehicle battery engineering plant in China.

“It is projected that Boston-Power’s battery systems will be used in hundreds of electric vehicles (EVs) starting in 2012 and thousands of EVs by 2014.China is committed to leading the world in electric vehicle innovation, manufacturing, public policy, consumer adoption and export. Boston-Power’s award-winning battery systems can play a significant role in helping to accomplish those goals. We’re pleased to team with Beijing Electric Vehicle Company and Beijing Automotive Industry Company to bring world-class EVs to the market” said Boston-Power Chairman Sonny Wu.