Borgward Group AG, a German brand that is being revived with Chinese backing, has formed a long-term strategic partnership with the SAP, LG Electronics and Bosch to support its plan to launch sales in Europe with plug-in hybrids and electric vehicles.
The agreements govern the development and delivery of various parts and components, particularly those related to electric mobility. All three of the agreements are long term in nature.
“The partnership that was agreed with SAP, LG and Bosch is an important milestone for Borgward Group AG,” said Ulrich Walker, CEO of Borgward Group AG, at the signing of the agreements in Stuttgart on Thursday. “Together with our partners, we are forming a strong alliance for a networked future.”
The leading IT company SAP will supply the software for the effective networking of the R&D, production, value chain, sales, services, global business operations and other areas of the young yet time-honoured automaker. The software from SAP will enable Borgward to perfectly integrate the areas of Industry 4.0 and Internet Plus in order to break through the traditional business and production processes and pave the way for a new era of smart manufacturing.
The strategic partnership with LG Electronics encompasses the joint development and delivery of high-performance batteries for plug-in hybrids and electric vehicles. Moreover, Borgward and LG will jointly develop electric vehicle components such as electric air-conditioning compressors. In the cooperation with Bosch, the two companies will work together on the further development of the electric drive train.
In addition, the partnership will encompass the development and supply of components and systems for motor control units, dynamic handling systems, starter generators, electronic steering systems and multimedia systems.
Borgward plans to launch plug-in hybrid and full electric cars in German-speaking countries at the end of 2017. The EVs will have a range of over 250km (155 miles) and will be attractively priced, Walker said last month.
Borgward is based in Stuttgart and backed by Chinese commercial-vehicle maker Beiqi Foton Motor. It targets annual global sales of 500,000 vehicles in the midterm.