GreenTech Buys Hong Kong's EuAuto to Build Mycar Electric Vehicle in U.S.

GreenTech Automotive Inc., chaired by former head of the Democratic National Committee Terry McAuliffe, acquired EuAuto Technology Ltd. to build and market the Hong Kong company’s mycar model in the U.S.

The Virginia-based hybrid car maker plans to produce five models in total and will start making the all-electric mycar after it receives U.S. government approval, McAuliffe said at a media briefing in Hong Kong today. He didn’t say how much GreenTech bought EuAuto for.

EuAuto’s mycar competes with Toyota Motor Corp.’s gasoline- electric Prius hybrid and Honda Motor Co.’s gas-electric Insight to meet rising global demand for low or zero-emission cars. EuAuto started marketing mycar in Hong Kong and Europe last year.

GreenTech aims to sell “hundreds of thousands” of mycars in the U.S. within a few years of production, McAuliffe said. “Potential demand for this kind of car is huge,” he said.

The two-seater coupe can be charged from any regular household socket and the standard version retails at 10,495 pounds ($15,000) in the U.K. By contrast, Nissan Motor Co.’s Leaf electric car will sell for $32,780 in the U.S. before government incentives.

BYD Co., the Chinese auto and battery maker backed by Warren Buffett, is also preparing to sell rechargeable battery- powered cars in the U.S. GreenTech may start production next year, McAuliffe said.

‘Green Collar Jobs’

GreenTech aims to create 4,500 jobs in the U.S., with the acquisition of EuAuto accounting for an additional 300 positions, the automaker said in a statement handed out to reporters in Hong Kong. The announcement coincided with U.S. Commerce Secretary Gary Locke’s visit to China to promote clean-energy exports and investment.

“We will continue to expand green collar job creation, which is central to our mission to build energy efficient, affordable automobiles in the U.S.,” McAuliffe said in the statement.

The company has spent almost $500 million developing prototype cars and plans to invest in wind and solar energy in the future, he said.

McAuliffe chaired the Democratic National Committee from 2001 to 2005. He ran unsuccessfully for the governor of the state of Virginia last year.

To contact the reporter on this story: John Duce in Hong Kong at Jduce1@bloomberg.net

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