Hangzhou-based Geely Commercial Vehicles Group and Transfar Zhilian Co recently signed a cooperation agreement to set up two joint ventures involving logistics and transportation. [Photo provided to ehangzhou.gov.cn]

Hangzhou-based Geely Commercial Vehicles Group and Transfar Zhilian Co recently signed a deal to set up two joint ventures related to logistics and transport capacity, local media outlets reported.

One of them will develop a comprehensive automobile logistics supply chain platform taking advantage of Transfar's smart end-to-end logistics service network across China as well as Geely's large business scale and strong operational capabilities.

Statistics show that the market value of integrated logistics supply chain services for automobiles reached 347 billion yuan ($53.68 billion) in 2020 and is expected to grow to 446 billion yuan in 2025.

The other project will aim to improve the transport capacity of new energy vehicles, echoing the national development plan issued on Nov 2, 2020 to use more new energy vehicles for urban deliveries and port operations and build an ecofriendly and hi-tech logistics transportation system.

The company will also build a green energy management network across the country by making use of Geely's technology, resources, and experience in photovoltaic power generation and its use of batteries in energy storage. This is expected to help the company realize its goal of setting up urban logistics centers, multimodal transport hubs, automobile industrial parks, and energy support centers.