FAW Group (Part 1): Forms ten-year plan for own brand business

Annual sales target of 2 million own brand vehicles by 2020



Unit sales of Top 6 OEMs in China

Unit sales of FAW Group by brand in China
FAW Group ranks third in industry with slow growth in sales volume

  China FAW Group Co., Ltd. is a pioneer in the Chinese automobile industry and is the first Chinese automaker to produce cars in China. FAW Group had been the top automaker in vehicle sales volume for a long time in the country (factory-shipment basis), however, it dropped tothe third position in the industry after SAIC Motor Corporation, Ltd. overtook its top position in 2006 and later by Dongfeng Motor Corporation (DFM) in 2010.

  Particularly, in and after 2010, its sales volume has been stagnant as the growth rate has been lower than those of other automakers. The sales volume in 2013 was about 2.90 million units. The automaker aims to sell more than 3.4 million units in 2014.

▽FAW Group relies on VW and Toyota brands

  The Volkswagen (VW) models, including the Audi, are the top-selling brand among the FAW Group brands in China. About 1.51 million units of the VW models were sold in 2013. The VW models are a driving force for FAW Group to increase its sales. The Toyota models are in second place with a sales volume of about 540,000 units. In contrast to the slump in sales of the Mazda models, the Toyota brand is on a road to recovery from the sluggish sales that had resulted from the worsening political relations between Japan and China. The sales volume of FAW Group's own brand comprising many models totaled to approximately 720,000 units.

▽Sales of group's own-brand cars show signs of recovery, especially in commercial vehicles

  The sales volume of FAW Group's own-brand cars (passenger cars and commercial vehicles) reached a record high of 1.04 million in 2010. After that, it dropped to 712,000 units in 2012. Since then, the sales volume has been gradually recovering. It slightly increased to 718,000 units in 2013 due to buoyant sales of the commercial vehicles. Although the sales volume of FAW Group's own-brand passenger cars is declining, sales of FAW Car Co., Ltd.'s own models increased by 65% in 2013.

▽FAW Group announces ten-year plan for its own-brand business and new energy vehicle strategy

  In May 2014, FAW Group announced its ten-year plan (up to 2025). In the plan, the automaker sets  an annual sales target of over 2 million units of its own-brand cars (factory-shipment basis, including exports) by 2020. The automaker also aims to hold more than 15% market share of  new energy vehicle market, including electric vehicles (EV) and plug-in hybrid vehicles (PHV) in China.

Related Reports:

* SAIC Motor's brand strategies and operations (Apr. 2014)
* China: Vehicle sales forecast to grow over 12% in 2014 (Feb. 2014)

Hongqi L5 Hongqi L5
FAW Car's high-end sedan "Hongqi L5" and its interior (at the 2014 Beijing Motor Show)
The standard selling price starts from CNY 5 million (JPY 83 million). It is an all-time high price for a Chinese own-brand passenger car. It is available in limited numbers from April 2014.

Organization chart for China FAW Group

Organization chart for China FAW Group

Principal data on China FAW Group (as of end of 2013)

Company name: China FAW Group Co., Ltd. (commonly referred to as FAW Group)
  Chinese government-owned automotive corporation, which is headquartered in China's northeastern city of Changchun, Jilin Province
  Ranking in the Fortune Global Top 500 corporation rankings in 2013: 141th

Number of employees of entire group: Over 120,000

Automobile sales (fully covers passenger car and commercial vehicle segments): Approximately 2.9 million units in 2013; over 24 million units on a cumulative basis

Financial data:
  Sales: CNY 460.5 billion (Jan.- Dec.)
  Total assets: CNY 303.3 billion (of which CNY 164 billion in current assets)

Provided with a supply chain that has a relatively strong competitiveness

60% of the subsidiaries and 70% of the total assets are jointly owned by FAW Group and outside companies, including foreign automakers (joint ventures, etc.).

Source: China FAW Group's 2013 annual report and media reports

China FAW Group's sales volume

2009 2010 2011 2012 2013 Jan.-Jun.
▽Grand total (FAW Group) 1,944,576 2,558,166 2,601,451 2,672,627 2,894,782 1,393,313 1,529,452
Owned brand vehicle 753,829 1,037,983 900,654 711,638 718,251 358,049 319,437
Passenger car 449,626 643,661 621,388 483,925 448,780 224,746 184,039
Commercial vehicle 304,203 394,322 279,266 227,713 269,471 133,303 135,398
JV brand vehicle 1,190,747 1,520,183 1,700,797 1,960,989 2,176,531 1,035,264 1,210,015
Passenger car 1,185,484 1,514,449 1,692,578 1,956,156 2,170,990 1,032,664 1,208,423
Commercial vehicle (Coaster) 5,263 5,734 8,219 4,833 5,541 2,600 1,592
▽(Of which) Passenger vehicle: sales volume by OEM (factory shipment basis)
OEM 2009 2010 2011 2012 2013 Jan.-Jun.
Toyota JV
(Tianjin FAW Toyota, Sichuan FAW Toyota)
417,299 505,931 529,146 522,180 541,044 244,556 251,296
(Reference)* Coaster by Toyota JV 5,263 5,734 8,219 4,833 5,541 2,600 1,592
(Reference) *  Total on Toyota brand with FAW 422,562 511,665 537,365 527,013 546,585 247,156 252,888
VW Group JV (FAW-VW) 669,180 869,979 1,034,888 1,328,888 1,512,887 732,984 906,208
GM JV (FAW-GM) 1,157 1,270 174 94 8 8 7
(Reference)*   Light truck/Pickup and the other light vehicle of FAW-GM 33,353 86,954 55,958 55,515 59,084 29,721 28,079
(Reference) *  Total on FAW-GM 34,510 88,224 56,132 55,609 59,092 29,729 28,086
Mazda contract manufacturing (FAW Car plant) 99,005 138,539 128,544 105,088 117,059 55,124 50,919
FAW Car (Hongqi, Besturn and Oley series) 89,136 132,405 112,818 79,124 130,535 50,929 84,817
Tianjin FAW Xiali 212,222 250,360 253,035 185,018 130,511 71,526 37,301
FAW Jilin Automobile 56,048 119,294 103,645 90,942 79,968 40,821 21,898
FAW Haima Motor 91,063 140,332 151,716 128,747 107,758 61,462 40,016
△Passenger car Total 1,635,110 2,158,110 2,313,966 2,440,081 2,619,770 1,257,410 1,392,462
Note: The figures of the (Reference)* are not counted in the Passenger car Total.

▽Commercial included:sales volume by type (factory shipment basis)
Type of commercial vehicle 2009 2010 2011 2012 2013 Jan.-Jun.

Bus 6,474 7,250 9,499 5,910 7,052 3,173 1,962
(Of which) Toyota Coaster 5,263 5,734 8,219 4,833 5,541 2,600 1,592
Truck 107,782 114,679 73,516 63,778 74,119 38,832 29,274
Semi trailer tractor 74,685 143,887 97,883 63,558 80,807 37,241 41,805
Bus Chassis 4,204 3,623 3,158 3,411 2,695 1,418 920
Truck Chassis 116,321 130,617 103,429 95,889 110,339 55,239 63,029
△Commercial vehicle Total 309,466 400,056 287,485 232,546 275,012 135,903 136,990

FAW Group announces ten-year plan for own-brand business

 In May 2014, FAW Group announced its "Ten-year plan (2016-2025) for the own-brand business." FAW Group revealed its ambitious goals of winning the top position in the own-brand business in China and of becoming one of the top ten companies in the Fortune Global 500 rankings by 2025. The plan also includes the company's policies to learn from the experiences of Japanese and Korean automakers in their courses of development and to actively take part in global business.

 The automaker also announced its target of achieving an annual sales volume of over 2 million units (group's own-brand cars) by 2020 and unveiled its concrete steps for sales expansion.

 Primarily, FAW Group will strengthen and expand its new energy vehicle business, build up its compact and mini vehicle business under the leadership of FAW Jilin, and expand sales of vehicles. Tianjing FAW Xiali will improve the poor sales performance of its affiliated major OEMs by entering the A-segment market for passenger cars, including SUVs and MPVs, and upgrading its models.

Summary of FAW Group's "Ten-year plan (2016-2025) for own-brand business"

Items Details
Management policy/ Business plan ▽Group
* FAW Group will lead the automobile industry in China and fulfill its obligation as the Chinese government-owned automotive corporation to promote the growth of the Chinese automobile industry, which is one of the nation's key industries, in a stable manner.
  FAW Group aims to earn the top position in the own-brand business in China by 2025.
* FAW Group will actively join the global race. The company will improve the global influence, competitiveness, and position of its own-brand vehicle business.
  FAW Group aims to become one of the top ten companies in the Fortune Global 500 rankings by 2025.
* FAW Group will concentrate on using its limited management resources in the FAW passenger car brand (Besturn, Oley, Xiali. Weizh, Junpai, Senya, Jiabao series, etc.), the Hongqi passenger car brand, and the FAW commercial vehicle brand (Jiefang, Jiabao, Senya series, etc.) in its own-brand category.
  The company will study the growth process that Japanese and Korean automakers in particular have experienced to help improve its products in quality, cost, and technology.
★To bolster its compact vehicle and minivan business
* Aiming to expand the group's sales, FAW Group will focus its efforts on strengthening its business of the own-brand compact passenger cars and light commercial vans, including mini vehicles, and expanding the sales of these vehicles. The company designates FAW Jilin to serve as the core base in these operations.
Steps to promote ten-year plan for own-brand business ▽Phase 1 (2016-2020)
* To achieve a sales volume of over 2 million units (own-brand vehicles) by 2020
 Of which a total of more than 600,000 units will be the Jiabao and Senya mini and compact vehicles (FAW Jilin Automobile)
* To introduce a total of 18 new own-brand models
Ten passenger car models (of which six are Hongqi models)
Eight commercial vehicle models (of which two are the FAW Jiefang heavy-duty truck models)
▽Phase 2 (2021-2025)
* To earn the top position in the own-brand business (sales volume, etc.) in China and concentrate its energy on becoming one of the top ten companies in the world


Outline of medium-to-long term business policies for own-brand vehicles by subsidiary

▽FAW Car
 It will modularize components and systems in the development and production of its own-brand passenger cars, including the FAW (Besturn and Oley series) and the Hongqi.
 Of the aforementioned vehicles, a special model for official duties will be introduced in the Hongqi brand, which is strongly imaged as a limousine.
▽Tianjing FAW Xiali
 The company is in a transition period in all aspects, i.e. products, marketing, business management, and corporate culture. The company intends to pull itself out of the red by the end of 2015, centering on the Junpai D60 SUV (A0 class) and other new models.
 In addition to vehicles for the main A0-class market, the company will introduce SUVs. It will also enter the A-class market to expand its model lineup. The company is accelerating the adoption of the start-stop systems (ISS) into its commercially sold cars.
▽FAW Jilin
 As a compact and mini vehicle manufacturer, FAW Jilin will be committed to creating a network for delivering an annual production and sales volume of 600,000 units (including cars built and sold overseas) in the medium-to-long term. It will seek high-quality and comfort by raising the standard of the platform for mini vehicles (chiefly minivans) to the level of a passenger car platform.
 The company sets South Africa, ASEAN nations, and Brazil as its main overseas markets (Iran is under discussion). The Senya series that is equipped with a right-hand steering wheel and an engine that supports fuel variations will be its key export models. It will expand sales of these models in the overseas markets.
 In partnership with GM, it aims to climb to the top position in China's light vehicle manufacturer rankings; it also further aims in becoming the top in the world's ranking.
 It will take advantage of the alliance with GM. It will study the technologies and models of GM's products and cars to enhance the quality of its compact vehicles. It aims to become global by making use of GM's overseas sales network.

(Note) FAW-GM has vehicle assembly plants in Harbin City (Heilongjiang Province), Qujing City (Yunnan Province), and Changchun City (Jilin Province).

▽FAW Haima
 The company will build a lineup of commercial models, mainly for family use and comfort.
 The models built at the Zhengzhou Plant of Haima Motor are mostly targeted at younger drivers.
▽FAW Jiefang
 The company is a pioneer in medium- and heavy-duty truck industry in China. The company aims to maintain a strong position as a pioneer in the medium- and heavy-duty truck industry. It will actively join the global race to raise the company's name recognition as a global brand for medium- and heavy-duty trucks. (Toyota specialists were invited and the Toyota production system was introduced in 2004.)
Strategies  To enhance brand recognition, develop key components in-house, and develop core technologies
 To adjust methods and encourage innovation in the car lineup, production system, and management control
 To strengthen management functions in product planning, quality assurance, parts supply (with security, stability, and safety), cost management, and marketing operations
▽(Reference) Tianjin FAW Toyota and Sichuan FAW Toyota
 The two companies plan to introduce Toyota's parts-sharing framework "TINGA" (introduction timing and other details have not been disclosed).
 Tianjin FAW Toyota will focus its efforts on the A-class market for passenger cars.


Tianjing FAW Xiali aims sales expansion by entering the market for high-end compact passenger cars

▽The first A-class passenger car "Junpai D60" aimed at shedding the image of an automaker with low-priced cars
 In May 2014, Tianjing FAW Xiali announced the new brand name "Junpai" series and its first mass-production model "Junpai D60" (product code is T012). The "Junpai" series is positioned at an upper segment than the existing "Xiali" and "Weizhi" series. The Junpai D60 shares Toyota's New Basic Car (NBC) platform, i.e. Toyota's "B" platform in Japan, with the Weizhi series and Vios. The introduction of the "Junpai" series is part of Tianjing FAW Xiali's strategy for shedding its image as a manufacturer of low-priced cars.
 The Junpai D60 is an A0-class compact SUV. Main competitive models for the Junpai D60 will be the Great Wall CS35, Haval H2, Chevrolet TRAX, Peugeot 2008, and Hyundai ix25. Small-lot production began in January 2014. It will be launched mainly in medium to large cities in the second half of 2014.
 The Junpai D60 is equipped with a 1.5-liter independently-developed VVT engine mated to either a five-speed manual transmission or a six-speed automatic transmission with a manual mode. The price ranges from CNY 70,000 to CNY 120,000. It offers a fuel efficiency of 6.4 liters per100 km (according to the maker). It is reported that the company will additionally introduce a model with a 1.8-liter engine (an engine for Toyota models).
 Tianjing FAW Xiali plans to introduce all types of A-class passenger cars, including the A0-class SUV. In recent years, the company has begun operations of new facilities for development and production successively, including a new product development center, a new powertrain plant, and a new vehicle assembly plant.
▽Tianjing FAW Xiali is in consultation with Daihatsu on transmission tie-up
 In July 2014, Tianjing FAW Xiali was in consultation with Daihatsu Motor Co., Ltd. on their tie-up in the transmission-production field. The details have not been disclosed. Currently, FAW Jilin continues to procure four-speed automatic transmissions and engines for the Xenia-based Senya series models from Daihatsu (complete vehicle licensing agreement incorporating Xenia technologies has expired).
▽Tianjing FAW Xiali improved its powertrain plant
 At the end of 2013, Tianjing FAW Xiali completed the construction of an additional "CA4GA series" gasoline engine plant of its powertrain subsidiary (Tianjin Yiqi Xiali Automobile Co., Ltd., Internal Combustion Engine Manufacturing Branch Company). Tianjing FAW Xiali invested a total of CNY 339.61 million in the construction of the plant.
 The construction of an additional plant for the "5T065" transmissions (in which the engines will be compliant with the Euro 4 exhaust gas standards) enters the final stage (99% completed). After the completion of the plant, the annual production capacity of the transmissions will be expanded to a maximum of 130,000 units. The total investment in the construction amounts to CNY 272.94 million (as of the end of 2013, the company invested CNY 225.85 million).


FAW Jilin: Characterized as the group's plant for building compact commercial vehicles and passenger cars

 In the announcement made in May 2012, FAW Group stated that it required its subsidiary, FAW Jilin, to achieve a sales volume of 600,000 units (of which 10% are exports and accounts for one-third of the group's total exports) by 2015.

▽Reinforcing mini vehicle business
 In February 2010, FAW Group revealed its plan to earn one of the top three positions in the mini vehicle market in China within 2013 and 2015. Its mini vehicle business will be crucial for its very survival as one of the Chinese leading automobile groups. In addition to improving its capability for an annual production of 180,000 mini vehicles, FAW Group started considering the construction of a second plant which will have an annual production capacity of 300,000 units.
 Based on the Jiabao and Senya platforms, the automaker will strongly reinforce its vehicle lineup by making the utmost use of its current management resources. FAW Group will chiefly develop core technologies that are applied to engines, transmissions, axles, and electric auto parts for mini vehicles under the leadership of its development center (FAW R&D Center). In particular, the automaker will develop an engine for mini vehicles of the TA1 series. FAW Group aims to make these core technologies as its resources that will give it a competitive edge over its rivals.
▽New plant began operations in April 2013
 In April 2013, FAW Jilin's second vehicle assembly plant began operations in the Automotive Industrial Park, Jilin City, Jilin Province. The second plant has lines for stamping, welding, coating, assembly, and plastic molding on its 700,000-square-meter land. The total investment in the second plant amounted to CNY 1.86 billion. After the second plant begins full-scale operations, the annual production capacity will be a maximum of 200,000 units.
 As of May 2014, FAW Jilin produced the Jiabao series minivans and Senya series (based on the Daihatsu Xenia) MPVs at the new plant. At the present moment, DVVT engines, transmissions, and other powertrain components of the Senya series are imported from Daihatsu. The automaker disclosed its plan for having a broad lineup of more than 80 models, including the Senya SUV/CDV (Commercial Delivery Vehicle) series and the Jiabao series in the future. The lineup also includes other new and derivative models built on the Xenia platform.
 Of the aforementioned models, a total of five models, including the Xenia platform-based MPV, SUV, and CDV of the above two series, will be introduced by 2015. In addition, the automaker plans to introduce the T series high-performance engines which incorporate the VCT-i technology independently developed by FAW Group.
 A Toyota-style distribution management system has already been introduced to assembly processes at the new plant. With further expansion of operations in mind, the company has already secured a site planned for a new plant. The site has an area of 600,000 square meters.



FAW Group's new strategy on new energy vehicles up to 2020

  FAW Group aims to become a leading corporate group among the Chinese own-brand automakers as well as in the world automotive industry in the fields of energy-saving next-generation hybrid vehicles (HVs) and new energy vehicles, including electric vehicles (EVs), plug-in hybrid vehicles (PHVs), and fuel-cell-powered vehicles (FCVs).

  FAW Group announced its new energy vehicle strategy "FAW New Energy Automobile Stratagem Programming (2014-2020)" at the Beijing International Automotive Exhibition that was held in April 2014. The automaker unveiled its plan to further promote the commercialization and popularization of the group's new energy vehicles as well as related goals and concrete measures. The automaker also announced that it aims to hold more than 15% share of the new energy vehicle market in China by 2020.

  In line with this strategy, the group's new energy vehicle division, China FAW New Energy Vehicle Branch (Changchun City, Jilin Province), formally released a total of four new energy passenger car models (one PHV and three EVs) in May 2014.

  FAW Group also unveiled a plan to accelerate the introduction of the high-end Hongqi PHV/HV built on its independently-developed H platform. According to the plan, the automaker will launch many Hongqi plug-in hybrid and hybrid models following the release of the EV version in 2016.

  FAW Group completed six projects to develop systems for the mass production of HVs, PHVs, and EVs as part of the company's "Lantu Strategy (2011-2015)" at the end of 2013. This is in alignment with "The 863 Program," which is a Chinese government project.


▽HV, PHV, and EV development projects completed by FAW Group in 2013, which are in line with the Chinese government's "The 863 Program"
Development items in projects Main activities
◇Strong hybrid bus (provisionally named "Jiefang-HEV Bus") project   System development for the mass production of HVs, EVs, and PHVs.
◇Mild hybrid bus (provisionally named "Jiefang-ISG HEV Bus") project
◇Plug-in hybrid passenger car (provisionally named "Besturn-PHEV") project
◇Strong hybrid passenger car (provisionally named "Besturn-HV") series project
◇Extender electric passenger car (provisionally named "FAW-REEV") project
◇Project for developing design and technology for new compact electric sedan and hatchback (provisionally named "FAW-EV")   Development of design, technology, etc.


"FAW New Energy Automobile Stratagem Programming (2014-2020)"

Items Details
(announced in April 2014)
Management policy
(up to 2020)
* FAW Group aims to become a pioneer in the new energy vehicle (own brand) field in China in terms of technology, market (sales), and customer satisfaction.
* FAW Group devotes its energy to independently develop core technologies for new energy vehicles and hold such technologies. In doing so, the company aims to make further advancement and development through partnership with other companies, including foreign OEMs, in various forms.
* FAW Group will maximize the sharing of components (modules) between the traditional gasoline-powered vehicles and new energy vehicles through the modularization of systems and assembly processes. By doing so, the company will fully assist with the development of new energy complete vehicle models.
New energy vehicle
Sales target
* FAW Group will garner a 15% or greater share of the new energy vehicle market in China by 2020 (equivalent to about 750,000 units).
  Note: The percentage-to-unit conversion is based on a total of 5 million new energy vehicles in the 2020 market in China, which is forecasted by the Chinese government.
Promotion steps Phase 1 (2014-2016)
* FAW Group forms a foundation for the mass production of driving motors and secondary battery systems. It develops mass-production models and builds a mass-production system for the main new energy vehicle models.
Phase 2 (2016-2018)
* FAW Group will commercialize and mass-produce new energy products. By doing so, it aims to contribute to achieving the fourth-stage target of fuel efficiency regulations enforced by the Chinese government (so as to play the role of a leading Chinese government-owned automaker).
Phase 3 (2018-2020)
* FAW Group will develop six new energy vehicle platforms and 16 complete vehicle models.
  At the same time, it will build a system for mass production and commercial sales. (It will strengthen its new energy vehicle business to achieve the economies of scale.)
* FAW Group will make sure that technologies for the PHV/EV power systems and platforms have evolved. It will also hold technologies for the key part modules of the systems and platforms.
* FAW Group will complete a procurement network of key components. Such components will include in-house developed and produced components as well as ones procured from parts suppliers with advanced technology.
 Note 1: The group companies have introduced a total of over 700 new energy complete vehicles, including the Besturn-EV, Oley-EV, Weizhi-EV passenger cars, and new energy-powered buses for test driving in eight cities in China by the end of 2013. The test driving has covered a cumulative total of 73 million kilometers.
 Note 2: Up to April 2014, more than 24 new energy vehicle models, including the announced production models (not yet on sale) and commercially available complete models, have been produced.
Organization and frameworks <New energy vehicle plant>
* In 2010, FAW Group established the "China FAW New Energy Vehicle Branch" as a division specializing in the group's new energy vehicle business. Primarily, the division oversees the group's operations of production, sales, after-sales service such as repairs, and technical consulting services for new energy vehicles (mostly passenger cars) and components of such vehicles.
 * The Changchun new energy vehicle plant (under expansion), the medium- and heavy-duty truck subsidiary "FAW Jiefang", and the bus subsidiary "FAW Bus" produces new energy passenger cars (full-scale operations began in May 2014), new energy trucks and new energy buses, respectively.
Production system for new energy vehicles <Annual production capacity>
* As of September 2013
Passenger car (Changchun new energy vehicle plant): 10,000 units in one shift, 20,000 units in two shifts
Commercial vehicle (FAW Bus's plant for Jiefang series large buses): 2,500 units (Breakdown: 2,000 plug-in hybrid buses and 500 electric buses)
* From August 2014 onward
Passenger car (Changchun new energy vehicle plant): 200,000 units in two shifts (from 2015)
Commercial vehicle: over 2,500 units
R & D facilities specializing in new energy business
(as of April 2014)
* FAW Group will build world-leading research and development facilities specializing in new energy vehicles at the Changchun headquarters (the facilities covers 10,000 square meters of floor space).
  * Primarily, the facilities enable workers to:
  (1) research and develop new energy vehicles and their key components, including each core technical performance;
  (2) devise development processes/systems and formulate rules (standards) for such vehicles and components; and
  (3) conduct simulation research on several functions of new energy vehicles and certify the performance, stability, and creditability of the new energy compact vehicles in terms of quality.
<Progress of installing specialized research and development facilities (partly equipment)>
* The "Electric Vehicle Study Room" (specialized department) created in the group's research and development center "FAW R&D Center" (Changchun City) takes responsibility. More than 40 research and development engineers work exclusively for the project (as of August 2013).
  (1) Already installed: Secondary cell lab, electrode lab, hybrid winch power system lab, hybrid bus power system lab, and strong hybrid system testing device (testing bench)
  (2) Installing or constructing: Testing and experimental facilities for new energy vehicles, electrodes, secondary cells for driving, electric components, and electronic control units are under installation or construction.
Model lineup plan for new energy vehicles (up to 2020) <Platforms for new energy vehicles>
* FAW Group will develop a total of six platforms for the new energy vehicles and create a system which enables the adoption of the platforms into the vehicles by 2020.
* Four passenger car platforms (for the A0-class EVs, A-class HVs, and B/C-class PHVs as well as the sport vehicles and vehicles for use in urban areas; A0 to C classes are covered)
* Two commercial vehicle platforms (for the urban public buses and urban trucks)
<New energy vehicle>
* FAW Group will develop a total of 16 complete vehicle models in both the passenger car and commercial vehicle variants as well as setting up a mass-production system and a sales network for these models by 2020. In particular, it will focus its efforts on developing the Hongqi HVs and PHVs as high-class own-brand models among other passenger car models. The Hongqi HV and PHVs will be built on the FAW's H platform for high-rank official duty vehicles.
 The passenger cars to be launched include: (1) Hongqi brand: High-end model series of the FAW Car and (2) FAW brand: The Besturn and Oley series of FAW Car, the Tianjing and Weizhi series of Tianjing FAW Xiali, and the Senya series of FAW Jilin.
 The commercial vehicle models to be launched include the Senya series of FAW Jilin and the Jiefang series of FAW Jiefang and FAW Bus.

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