German and Chinese car makers Daimler and Geely, the parent company of Volvo, have launched their upmarket ride hailing service in China. Called StarRides, its services start this month in Hangzhou, where Geely has its headquarters.
 
Hangzhou is a city of more than ten million people and home to leading Chinese companies including some of the country’s major technology businesses. This is no Uber service; the drivers will be specially trained and wear uniforms.
 
The 50-50 joint will launch with a fleet of 100 vehicles including Mercedes-Benz S, E and V class vehicles. StarRides plans to expand to other major cities in China next year.
 
Daimler Mobility and Geely Technology Group will be equally represented on the board of management of the ride-hailing service, for which the two companies have developed the software infrastructure required to support the business in China. A joint board of directors includes Liu Jin Liang, CEO of Geely Technology Group, and Joerg Lamparter, board member of Daimler Mobility. Tom Gu has joined StarRides as chief executive officer, leading a staff of 80 employees.
 
“Premium ride-hailing is an essential element in our mobility ecosystem ranging from multi-year financing contracts to flexible leasing, car rental and subscription models to on-demand mobility,” said Lamparter. “With Geely Technology Group, we have found an excellent partner to expand our mobility ecosystem in China. StarRides will play a significant role in addressing customer needs in the premium ride-hailing segment and solidifying our strong position in the mobility market.”
 
StarRides aims to secure a safe, convenient and premium one-stop mobility experience. Consumers can download the StarRides app in the Apple App Store and Google Play Store. The drivers are being trained by top chauffeur trainers and have compliant driving licences for online ride-hailing services. They are uniformly and neatly dressed and experienced, some of whom are premium service personnel capable of speaking Chinese and English when serving international users.
 
“We are proud to launch China’s first premium ride-hailing services in Hangzhou, the city where Geely Holding is based and a city that is home to companies pioneering technology innovation in this country,” said Liang. “StarRides is the latest symbol of our cooperation with Daimler, which we expect to create win-win opportunities for both companies. It also reflects Geely Holding’s continued transformation as a mobility and transport technology company.”
 
Inaugural services follow a year of development and planning by Daimler and Geely, which unveiled the project in October 2018. At the same time Daimler and Geely are establishing a 50-50 globally focused joint venture to own, operate and further develop the service.
 
With its Mercedes-Benz Cars, Daimler Trucks, Mercedes-Benz Vans, Daimler Buses and Daimler Mobility divisions, Daimler is one of the leading global suppliers of premium cars and is the world’s largest manufacturer of commercial vehicles. Daimler Mobility offers financing, leasing, fleet management, investments, credit card and insurance brokerage, and mobility services.
 
Zhejiang Geely Holding Group is an automotive group that owns several well-known international automotive brands, with operations spanning the automotive value chain, from research, development and design to production, sales and servicing. It was founded in 1986 by Li Shufu, the company’s chairman, in Taizhou in China’s Zhejiang province. Geely Holding launched its automotive business in 1997 and is now headquartered in Hangzhou.
 
ZGH sold over 2.15 million vehicles in 2018, with Volvo Car sales reaching highs of 642,253 cars globally and Geely Auto Group sales growing over 20% to reach 1.5 million units in total.