(Yicai Global) March 16 -- EVelozcity, new electric vehicle start-up founded by Faraday & Future Inc.'s former chief financial officer Stefan Krause and former chief technology officer Ulrich Kranz, who were once fired by embattled Chinese entrepreneur Jia Yueting, is quietly planning to manufacture NEVs  in China, Krause told Yicai Global in an exclusive interview.

The news comes at a time when FF plans to bring production of its FF91, set to be the world's most expensive NEV, to China. Speaking to Yicai Global in Beijing, Krause revealed the details of EVelozcity's China plans  for the first time. The company has already raised USD1 billion in funds and expects the first mass production cars to hit China's roads in 2021.

Krause has recently made frequent visits to Hong Kong and Beijing to meet investors, but he also had a more arduous task to find a Chinese production partner for his new company.

Krause has finalized its search for a production partner during his current visit to China, which he will announce in the near future, Yicai Global learned. In addition, EVelozcity also plans to set up an office in China in the near future and recruit engineers, supply chain and procurement personnel. The office will be responsible for managing the supplier network together with partners, getting to know the market, understanding the needs of Chinese customers, and doing quality control work. The company's goal is to expand the size of its global workforce from the current 100 employees to around 300 this year.

EVelozcity also operates in the same mode in the U.S. with its partners, he said. The first mass production will be made in the U.S. and then will be produced in China. As for the use of existing car production lines, or construction of new production equipment, the specific details have yet to be negotiated, he added.

Krause, once known as the "savior" of FF, has a background of 20 years in finance and automotive industries. He has worked for BMW and Deutsche Bank. Krause was impressed when he saw the FF91 for the first time at the Consumer Electronics Sow, CES, in the U.S. at the beginning of last year, he said. Krause and Jia quickly became partners and he joined FF last March to help Jia realize his dream of making cars.

Legal Battle

However, FF suffered a major financial blow after Jia Yueting's LeEco run into cash difficulties. FF said last November that the CFO, who took office only nine months ago, was officially dismissed on the grounds that he blocked the smooth progress of the company's normal financing and was guilty of misconduct, including suspected violation of the law, which it claimed severely damaged the interests of the company and its investors.

Krause said he resigned on Oct. 14, 2017, but accused FF of fabricating facts, saying he will take legal action against the company. FF's CTO Ulrich Kranz, known as the father of the BMW i series, was also dismissed at the same time.

Less than a month after leaving FF, Krause registered an electric vehicle company named EVelozcity in the U.S. FF's former design director, Richard Kim, also joined the company. Earlier this year, FF sued Krause and EVelozcity, accusing former executives of allegedly stealing the company's technology to start their own companies.

Krause has finalized its search for a production partner during his current visit to China, which he will announce in the near future, Yicai Global learned. In addition, EVelozcity also plans to set up an office in China in the near future and recruit engineers, supply chain and procurement personnel. The office will be responsible for managing the supplier network together with partners, getting to know the market, understanding the needs of Chinese customers, and doing quality control work. The company's goal is to expand the size of its global workforce from the current 100 employees to around 300 this year.

Krause did not comment on the latest progress of the FF lawsuit. However, he once issued a statement saying that FF's legal action was unfounded. Now lawyers are handling these matters, which will not affect the company's business development, he said, adding EVelozcity will continue to vigorously make market deployment and recruitment in China.