• Deutsche Post
  subsidiary StreetScooter and automobile manufacturer Chery Holding Group sign
  Memorandum of Understanding (MoU) to begin local production, sourcing and
  development of last-mile electric light commercial vehicles (eLCV) specially
  tailored to the Chinese market and potentially selected other countries
• The MoU is part of an
  economic agreement reached during German Chancellor Angela Merkel's trip to
  China
• China and ASEAN region
  of major strategic significance for StreetScooter, offering opportunities for
  high volumes, in-country value creation and technological collaboration
• Perspective total
  investment up to 500 million Euro amount
• Mass production
  planned for 2021 with production capacities of up to 100,000 electric vehicles
  per annum

BEIJING,
CHINA / AACHEN, GERMANY�-�Media OutReach�-�September 6, 2019 - StreetScooter GmbH, a subsidiary of
Deutsche Post and market leader for electric light commercial vehicles (eLCV),
has signed a memorandum of understanding (MoU) with the Chinese automobile
manufacturer Chery Holding Group (Chery). The agreement establishing a joint venture
between the two companies was reached during German Chancellor Angela Merkel's
trip to China. Chery is one of China's
leading automobile manufacturers, with a 20% market share in electric
commercial vehicles sector. Chery is expanding its scope of mobility
within the high promising segment of light cargo electric vehicles and micro
e-mobility solution.

The memorandum was signed by StreetScooter CEO J�rg
Sommer and Chairman of the Board of Chery
Holdings Co., Ltd., Yin Tongyue, in the presence of the heads of both the German
and Chinese governments in the Great Hall of the People in Beijing.

�

The two companies plan
to develop an electric light utility vehicle for the international market
in selected countries. The project will include local manufacturing and sourcing
as well as nationwide sales and service. As outlined in the memorandum, the
entry of electric light commercial vehicles into the Chinese market will be
gradual. Mass production is scheduled to begin in 2021 with production
capacities of up to 100,000 electric vehicles per year.

�

The market entry of
StreetScooter in China continues the internationalization of the company after
the strategic cooperation with the Japanese logistics company Yamato.

�

"This production and
sales agreement is a major milestone in our company's, as yet, short history,"
said J�rg Sommer, CEO of StreetScooter GmbH. "We're thrilled about the upcoming
collaboration with our partner Chery and this opportunity to open up the
world's largest market for electric light commercial vehicles, introduce our
energy, logistics and fleet solutions and create a local source of value
creation. StreetScooter now has a commercial presence in Japan and China, the
two most important national economies in Asia."

�

Yin Tongyue, Chairman of Chery Holding Group
outlines the strategic importance: "The strong cooperation between Chery and
StreetScooter will create opportunities for both parties to explore the global
market, especially in the EU and China. It will also help Chery to further
accelerate the development of innovative solutions based on new energy and
smart interconnection and therefore surpass traditional fuel vehicles. Chery
will actively integrate the global unique resources and know-how through open
cooperation and customer centric unique-selling-propositions and offerings."

�

The joint venture also
aims to establish a location for research and development in China, focusing on
developing eLCV components, technology, vehicle architecture and design,
autonomous logistics and energy solutions.

�

The Chinese market for
light commercial vehicles is expected to reach 2.3 million trucks by 2025, over
900,000 of which are forecast to be electric. Such rapid growth will make China
the largest market in the world for electric vehicles of this kind, followed by
Europe and the USA. Market growth is being driven by numerous factors:
Urbanization, rising transport volumes in downtown delivery traffic (last
mile), related municipal rules and regulations on vehicle emissions, and new
mobility, logistics and energy solutions. Major sales potential for the soon-to-be
jointly produced electric vehicles will be offered by a regionally tailored and
homologated version of the StreetScooter products and services.
The new joint venture intends to target major fleet operators in the areas of
last-mile delivery and e-commerce as potential customers.

About StreetScooter GmbH

StreetScooter
is a global innovation leader/ first mover in the field of electrically powered
commercial vehicles based in Germany and was fully acquired by Deutsche Post
DHL Group in 2014. The company is currently the market leader with more than
12,000 vehicles in daily use and has a track record of over 100 million
kilometers driven and 36,000 tons of CO2 savings. StreetScooter has also
electrified more than 700 depots and installed more than 11,000 charging points
for small and large fleet operators. The company is transforming itself from an
electric vehicle manufacturer into one of the leading global energy and
logistics platforms for the last mile.

�

About
Chery Holding Co., Ltd.

Chery
Holding Co., Ltd. was established in 2010, a group company based on the automotive industry, with co-development of
the auto parts production and R&D, financial investment, service trade,
ship, traveling & real estate. Chery has sold almost 8 million passenger
vehicles. At the same time, Chery has exported more than 1.5 million units,
ranking No. 1 in exporting Chinese passenger vehicles for 16 consecutive years.