(Yicai Global) Aug. 8 -- Great Wall Motors refuted a news report that claimed the Chinese automaker has reached a standstill in its negotiations to form a CNY5.1 billion (USD723 million) joint venture with BMW to produce vehicles, including Minis, in China. 

Great Wall's partnership to set up the 50-50 JV with BMW is proceeding as planned and the pair is preparing to file a report to regulators, the Hebei province-based company said in a statement yesterday. 

The JV may not go ahead because of strategic and cultural differences between the parties, online news outlet Electrive reported, citing German newspaper Suddeutsche Zeitung. The talks are deadlocked on some basic issues and the German company has canceled a plan to send engineers to China, the report added. 

Great Wall penned a contract with BMV Holding, a unit of Munich-based BMW, last July to establish Spotlight Automotive to make fuel cell and new energy vehicles in Jiangsu province. Annual output capacity is forecast at 160,000 units. 

Editor: Emmi Laine