The company signed a Memorandum of Understanding (MoU) with the Shandong Innovation and Entrepreneurship Community for International Science and Technology Cooperation (SITEC); a provincial science and technology innovation arm led by Shandong Hi-Speed Group (SDHS), a Fortune 500 state-owned company.
This agreement paves the way for the introduction of Electreon's groundbreaking charging technologies in Shandong province, the second largest province in China, and the world's EV manufacturing epicentre.
The partnership encompasses several phases. Phase one, commencing in the fourth quarter, 2023, will feature the debut of Electreon's wireless charging technologies at the Jinan Shandong Hi-Speed industrial park which may later be used to transport SITEC personnel within the park. Electreon will also integrate its award-winning technology with vehicles from Zhongtong Bus, one of the biggest Chinese bus manufacturers. This first deployment will showcase this innovative EV charging technology to key clients, partners, and other stakeholders in the Chinese market for the very first time. Under this collaborative initiative, Electreon will also establish a Chinese subsidiary company and employ local talent to bolster its presence in the strategically important Chinese market.
The agreed second phase of the Electreon-SITEC partnership is of commercial significance to the partners. Together they will deploy tens of kilometres of Electreon's dynamic charging system (also known as Electric Road technology), hundreds of stationary charging stations, and install the company's technology on several hundred urban electric buses in Liaocheng city, situated in the west of Shandong province.
Beyond this initial commercial project, Electreon and SITEC are also committed to fostering commercial business projects across the province and beyond.
In the third phase, the partners will launch a wireless charging project for electric trucks operating within the Weifang Port, along with the integration of Electreon's technology into Sinotruk vehicles, the country's largest truck manufacturer, owned by the China National Heavy Duty Truck Group. Additionally, the partners will continue to collaborate to expand the portfolio of electric fleet operator clients, cooperate with EV manufacturers and original equipment manufacturer (OEM) partners to develop projects tailored to meet the operational needs of fleet operator clients throughout China.
Electreon already has operational projects in Germany, Italy, Sweden, Israel, and the US, and has signed deals for additional projects in Germany, its first project in France, and another in Norway in the past year. Entering China will now enable the company to ramp up its mass manufacturing and production capacities, while keeping costs down, to meet the growing market demand for the company's wireless charging solutions at large commercial scales across Europe and beyond.
Beyond being the heart of global EV production, Shandong province is also a strategic market entry point for Electreon. It is the second most populous region in China, with over 100 million inhabitants, and boasts a robust economy.
Electreon says the significance of the partnership with SITEC also cannot be underestimated. SITEC, headquartered in Jinan, China, is supported by and closely affiliated with SDHS. With an annual revenue of US$34.4 billion and a workforce of more than 70,000, SDHS is one of China's premier infrastructure State-owned Enterprises (SOEs). As the provincial science and technology innovation platform, SITEC plays a pivotal role in various industrial sectors essential to Electreon's success in China, including highway, railway, and port construction and operations, and is strongly backed by the Jinan Industrial Development Investment Group.
"This strategic collaboration with SITEC marks a significant leap forward in Electreon's mission to electrify transportation worldwide,” said Electreon's CEO, Oren Ezer. “Shandong province, being the world's electric vehicle manufacturing hub, is the ideal location to launch our innovative wireless charging technology in China. We are excited to partner with SITEC to introduce our cutting-edge wireless charging solutions to the pioneering Chinese market, ultimately contributing to the sustainable transformation of transportation in China and beyond."
Shang Min, SITEC's Chairman, shared his perspective on the partnership announcement, stating, "SITEC is committed to fostering innovation and advancing sustainable transportation solutions both domestically and internationally. We believe that Electreon's wireless Electric Road technology has the potential to revolutionise EV charging infrastructure in China. This partnership aligns perfectly with our mission of innovation and sustainability, and we are eager to work alongside Electreon to make this vision a reality in Shandong province and beyond."
