JINHUA, China, Dec. 15, 2015 (GLOBE NEWSWIRE) -- Kandi Technologies Group, Inc. (NASDAQ:KNDI) (the "Company" or "Kandi"), today announced that its wholly owned subsidiary, Zhejiang Kandi Vehicles Co., Ltd. ("Kandi Vehicles") signed a cooperation agreement (the "Agreement") with the Haikou municipal government ("Haikou Government") and the Haikou National Hi-Tech Industrial Development Zone ("Haikou Hi-Tech Zone") on December 11, 2015 to establish a production facility in Haikou ("Haikou Facility") with an annual capacity of 100,000 electric vehicle (EV) products (the "Project"). The Haikou Facility will include equipment transferred from Kandi Vehicles’ facility that was previously under construction in Wanning City due to strategic changes in Wanning’s urban planning. The Agreement marks Hainan’s strategic effort to accelerate adjustment in the industrial planning process.
Key terms of the Agreement are as follows:
- As a relocation of Kandi Vehicles’ facility in Wanning City, Hainan province, the Haikou Facility will have an annual capacity of 100,000 EV products after completion, with a preliminary expectation of starting production in 15 months.
- Haikou Government and Haikou Hi-Tech Zone are committed to:
- Supporting the facility as a key project in Hainan province with favorable policies and financial incentives;
- Actively seeking the Hainan provincial government’s approval to launch the Micro Public Transportation Program ("MPT Program") in the entire Hainan province; and
- Achieving local subsidies and all levels of the government’s preferential treatment for the Kandi Brand EV products used in the MPT Program.
To view an enhanced version of Figure 1: Kandi Technologies - Hainan production facility signing ceremony, please visit:
Mr. Ni Qiang, Mayor of Haikou, stated, "This project is an essential part of Haikou’s effort to implement the State Council’s plan of strengthening economic and industrial development. With the consumers’ increasing awareness of environment protection and the growing demand for an environmentally friendly urban public transportation system, electric vehicles will soon become a driver of China’s economy. This project is the perfect initiation for Hainan to further improve our green and ecologically sensitive industry."
Mr. Hu Xiaoming, Chairman and Chief Executive Officer of Kandi, commented, "We are excited to establish a facility in the National Hi-Tech Industrial Development Zone in Haikou, which is the capital city of Hainan province. Despite the relocation from Wanning City and a production delay, we believe the new location will accelerate Kandi’s expansion in Hainan with favorable policies. Kandi Vehicles has also reached an agreement with the Wanning government and will be compensated for the capital expenditure that cannot be moved to Haikou. As we continue to integrate all available resources to develop cost-effective pure electric vehicles and promote EV adoption in Hainan, we look forward to establishing an environmentally friendly public transportation network, while making significant contributions to Hainan’s urban development."
Municipal government officials attending the signing ceremony included Sun Xinyang, member of the Provincial Standing Committee and Party Secretary, Ni Qiang, Mayor, Yuan Guangping, Executive Deputy Mayor, Lin Haining, Party Secretary-General, and Ju Lei, Deputy Mayor.
*Please note the cooperation agreement supersedes the October 2012 agreement by and between the Company and the Wanning government for the production of 100,000 EV products.
About Kandi Technologies Group, Inc.
Kandi Technologies Group, Inc. (KNDI), headquartered in Jinhua, Zhejiang Province, is engaged in the research and development, manufacturing and sales of various vehicle products. Kandi has established itself as one of China's leading manufacturers of pure electric vehicle ("EV") products (through its joint venture), EV parts and off-road vehicles. More information can be viewed at the Company's corporate website at http://www.kandivehicle.com.
Safe Harbor Statement
This press release contains certain statements that may include "forward-looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the risk factors discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on the SEC's website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.
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Source:Kandi Technologies Group, Inc.