State-owned Atlas Bangladesh Ltd (ABL) has signed a deal with China’s Zhejiang Luyuan Electric Vehicle Company Ltd to manufacture and assemble electric scooters and bikes locally under the brand Atlas EV.

The partnership, formalised through a memorandum of understanding on 22 May at the BSEC Bhaban in Dhaka, will enable ABL to receive technical cooperation from the Chinese firm to launch electric two-wheelers in Bangladesh.

According to a disclosure on the Dhaka Stock Exchange (DSE) website, the company targets commercial sales through its dealer network by August 2025.

Founded in 1966 in partnership with Japan’s Honda, Atlas was nationalised after Bangladesh’s independence in 1972. It later joined hands with Hero Honda in 1993, a collaboration that ended in 2010.

ABL now plans to re-enter the two-wheeler market amid growing demand for electric vehicles, with government support aimed at promoting cleaner transport options.

DSE data shows that the government currently owns 51% of ABL, with institutional investors holding 16.95% and the general public 32.05%.

The move marks a strategic shift for the company, once a household name in Bangladesh’s motorcycle market, as it positions itself in the growing EV segment.