Based on the Mercedes-Benz B-Class platform, the China-only electric car will be called DENZA and manufactured on a new production line in Shenzhen. Daimler said it had contributed its safety and quality experience to the joint venture, while Chinese manufacturer BYD had added its knowledge of long-range battery cells.

This means the DENZA can offer a 188-mile range from its lithium iron phosphate battery, which is located under the cabin, isolated from passengers and is disconnected automatically after an accident. Charge status can also be checked remotely via an Android or iOS smartphone app.

Based on this range, and the average Chinese commute of 31-50 miles per day, Daimler said it expected a typical user to plug in twice a week at a cost of 20RMB (£1.90) per charge. Joint venture company Shenzhen BYD Daimler New Technology (BDNT) has a partnership with the Swiss-Swedish ABB Group to install public and domestic charging points for the DENZA.

Hubertus Troska, member of the board of management of Daimler AG with responsibility for China, and chairman and CEO of Daimler Greater China, said: ‘Daimler is constantly moving forward with emission-free mobility; and with our DENZA we are also on the right track in China, which is destined to become the world’s most important market for electric vehicles.

‘With DENZA we deliver the safest, most reliable, and most convenient electric vehicle to our Chinese customers – designed, engineered, and produced in China, for China, once again proving our full commitment to the country.’