Ford Motor Co has signed a memorandum of understanding (MOU) with Chinese car manufacturer Anhui Zotye Automobile Co to establish a 50-50 joint venture to produce electric vehicles (EVs). Vehicles will be sold under an indigenous brand owned by the new joint venture.

The joint venture marks a major step for Ford’s electrification initiatives in China. Earlier this year, Ford said that 70% of its vehicles sold in China will have electrified powertrain options by 2025. China is the fastest-growing market in the world for new energy vehicles. In the first seven months of this year, sales of electric vehicles hit 204,000 units, up 33.6% year-on-year, according to the China Association of Automobile Manufacturers (CAAM). Ford expects the market for new-energy vehicles in China to grow to six million units annually by 2025, of which around 4 million vehicles will be all-electric.

China’s Great Wall Motor Co is interested in bidding for Fiat Chrysler Automobiles (FCA), a company official said, confirming reports it is pursuing all or part of the owner of the Jeep and Ram truck brands. FCA Chief Executive Sergio Marchionne is seeking a partner or buyer for the world’s seventh-largest automaker to help it manage rising costs, comply with emissions regulations and develop technology for electric and self-driving cars.

Great Wall Motor is China’s largest sport-utility vehicle (SUV) and pick-up manufacturer. If the deal goes ahead, it would be by far China’s largest overseas automotive industry deal – and possibly one of its largest ever overseas purchases – at USD20 billion dwarfing Geely’s acquisition of Volvo cars in 2010. FCA is larger than Great Wall, which has a market value of about USD16 billion.

Great Wall is especially interested in the Jeep brand, which targets sales of 2 million vehicles in 2018, up from 1.4 million in 2016, and could eventually reach 7 million a year as demand for sporty vehicles is set to keep rising. Great Wall said however that no talks had started yet.