In April 2011, Volvo Bus and SAIC Motors of China agreed to form a new joint venture company in China for driveline systems for electric and hybrid buses. The new company is 60% owned by SAIC and 40% owned by Volvo.
Volvo invests CNY 40 million and SAIC CNY 60 million in the new company, Shanghai Green Bus Drive System Co, based in Shanghai. The new company will industrialize SAIC Motors and Volvo Buses research and development projects within electric and hybrid drivelines for buses. Since the beginning of the 21st century, Volvo and SAIC together operate Sunwin Bus, which is one of the largest city bus manufacturers in China.