A massive new-energy vehicle industry valued at more than 100 billion yuan ($15.5 billion) is taking shape in Qingdao, Shandong province, qingdaonews.com reported on April 5.

Assembled new energy cars at a BAIC factory in Laixi, Qingdao city. [Photo/ qingdaonews.com]

A national new-energy park covering 200 hectares in Jiangshan town, Laixi city, will gather more than 100 companies with businesses ranging from car manufacturing to technical support and auto sales, according to the town’s Party chief Zhang Xianjie.

Zhang revealed that the first phase of the electric car production base, developed by car manufacturer Beijing Automotive Industry Corporation (BAIC), has become operational. A total of 1 billion yuan was invested in the base which is expected to have an annual output of 50,000 cars; a 3-billion-yuan car battery project is also close to production.

Qingdao and BAIC agreed on the new-energy production base in 2014, taking advantage of the promising industry endorsed by central authorities in the country’s 12th Five-Year Program (2011-2015).

BAIC plans to spend 5 billion yuan on the next stage and increase the combined annual output to 200,000 units or even 300,000 by 2020. The base will be the center of new-energy car technology, manufacturing and business operations in east China.