(Yicai Global) June 18 -- A subsidiary under Chinese piston manufacturer Bohai Automotive Systems has won a contract to supply aluminum parts for cars made by Beijing Benz Automotive.

Hainanchuan Binzhou Lightweight Automotive parts will supply the components, its Shandong province-based parent said in a statement yesterday. Beijing Benz, a joint venture between Mercedes’ German owner Daimler and Bohai’s controlling shareholder BAIC Motor, has already put forward on a pricing mechanism for the contract, it added.

Shares in Bohai [SHA:6009690] were up 3.46 percent at CNY3.29 (46 US cents) as of 2.42 p.m.

Becoming a designated supplier for Mercedes’ new-energy and traditional vehicles marks the progress the subsidiary has made in staying abreast of lightweight and electric components and its expansion into the high-end segment, the statement said.

Editor: James Boynton