Beijing — BMW is poised to become the first foreign car company to take majority control of its Chinese venture as the country opens up one of its biggest industries to foreign ownership despite a worsening trade war with the US The second-biggest luxury car maker plans to unveil the new ownership structure of its venture with Brilliance China Automotive Holdings soon, according to a person familiar with the plan, who asked not to be identified because the accord remains confidential. BMW is the biggest exporter of vehicles from the US to China, putting it among major companies most exposed to a trade war. BMW holds a 50% stake in the partnership. Beijing in April said it would remove the foreign ownership cap with any changes coming into effect for passenger car ventures from 2022. Shares of Brilliance and BAIC Motor, a partner of Daimler, both declined on concerns foreign car makers gaining more control will mean they’ll miss out future profits. China is the biggest market for man...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.