FRANKFURT - Daimler plans a technology cooperation with China's BYD to develop electric vehicles for China, in a sign that the German auto maker is increasingly dependent on China's know-how.

Daimler said Monday it had signed a letter of intent for a technology cooperation that combines BYD's know-how in battery technology with the German manufacturer's experience making cars.

Daimler and BYD will establish a new brand for the Chinese market, to develop an electric car for the Chinese market, Daimler said.

A technology center will be built in China to develop and test the vehicle, Daimler said.

(Reporting by Edward Taylor, +49 69 7565 1187;