The rise of Geely and where it stands in the future of cars

SINGAPORE (June 4): On Feb 23, Daimler announced in a filing that Zhejiang Geely Holding Group had acquired a 9.7% stake in Daimler for €7.3 billion ($11.4 billion). With this stake, Geely becomes the single-largest shareholder of Daimler, whose most famous marque is Mercedes-Benz. Geely also owns another well-known European brand — Volvo — and former British brand Lotus (see Chart 1).

In just 20 years, Geely has transformed from a little-known Chinese company to one of the most recognised names in the automobile sector. Geely is already one of the largest producers of electric vehicles (EVs), ahead of Tesla, and is snapping at the heels of the likes of Renault-Nissan-Mitsubishi and BYD Corp. 

Geely became a global name when it acquired Volvo in 2014. In 2017, it took a 49.9% stake in Proton, Malaysia’s national car, and became a well-known brand in Malaysia. Geely injected RM170 million of cash into Proton and also RM290 million worth of the Geely Boyue SUV platform. The Boyue SUV is China’s top-selling sport utility vehicle and the platform will be used to build Proton’s first SUV in Malaysia.

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