Future Mobility, a Chinese electric-vehicle (EV) start-up established at the beginning of the year, plans to launch a premium car model by 2020 that will compete with existing global vehicle manufacturers such as BMW, Mercedes-Benz and Audi.

Among Future Mobility's shareholders are Tencent Holdings and Foxxconn Technology Group.

CEO Carsten Breitfeld told local reporters his company is developing a technology platform that will form the basis of a family of electric vehicles which will allow it to rapidly ramp up production.

The company revealed a new automotive brand would be unveiled in the first half of 2017 and the first model would be priced at around CNY300,000 (US$45,000).

The new brand would challenge German vehicle manufacturers which control around 80% of China's premium vehicle market. The cars would be produced in China and marketed worldwide.

The company expects the Chinese EV market alone to expand to around 1.5m units a year by 2020. It expects to produce some 300,000-400,000 vehicles per year within two years of operation.

The main R&D centre will be in Shenzen, in southern China, and other R&D facilities will be set up in Munich, Germany, and in California's Silicon Valley.