China and the UK are strengthening their respective automotive industries with a new cooperative partnership signed by the countries' major automotive organizations.
China's Association of Automobile Manufacturers (CAAM) signed a cooperation agreement with the UK's Society of Motor Manufacturers and Traders (SMMT) in London.
The new cooperation agreement between the two organizations is a big deal for the automotive sectors of both countries. China is currently the biggest car market in the world, while the UK ranks fourth as the largest automotive manufacturer.
The agreement itself will include strategic partnerships between both organizations in areas such as connectivity, emissions technology, autonomous driving, and battery research.
The agreement between both organizations was signed at a news conference at the SMMT International Automotive Summit held just this week. The event featured speeches and open discussion regarding different topics that directly affected the automotive sector.
This included open discussions on topics such as economy, politics, media, and other factors such that affect the automotive industry as a whole.
One of the hottest topics of discussion during the event was the integration of advanced technologies. Tech firms such as Baidu and Alibaba have so far implemented different measures to integrate high-tech advancements into automotive manufacturing.
The future of new energy cars, or electric and hybrid vehicles, were also discussed during the event.
According to the executive vice-chairman of CAAM, Fu Bingfeng, the cooperation between both organizations should help expand investments and collaborations in a wide array of technologies.
The cooperation between both nations should bolster the establishment of new projects and the strengthening of existing ones. Fu added that the signing of the agreement will come a long way in improving the already robust Sino-UK relations.
SMMT chief executive Mike Hawes expressed more of the same sentiment as his Chinese counterpart. Hawes stated that the UK has always had its doors open to its global partners. Both the UK and China are leaders in automotive engineering and technologies, which means that a partnership between both nations is ideal to open up new business opportunities within the sector.
Hawes further elaborated that a partnership between both nations is crucial in a time of unprecedented change in the sector. Shifting to fully electric and hybrid powertrains will be putting a lot of strain into individual manufacturers. Some companies have reportedly struggled to shift to the new technology, given the amounts required for proper development and implementation.
Automotive manufacturers are currently investing heavily in the adoption of new technologies and close collaboration between nations will likely be the only way to achieve a successful transition.
