FAW, Leapmotor join hands in NEV development

China FAW Group and Leapmotor signed a memo for strategic cooperation on Monday, aiming to strengthen collaboration in the burgeoning and competitive new energy vehicle sector.

Amid intensifying competition in vehicle electrification and intelligence, the two companies said they would like to enhance technological integration, pool resources, and boost product competitiveness.

Their partnership will focus on two key areas: joint development of NEV passenger cars and component collaboration, leveraging each party's technological expertise; and exploring deeper capital cooperation to optimize industry-wide resource coordination.

Founded in 1953, FAW has been a key player in China's automotive sector. The group owns brands such as Hongqi, Jiefang, and Bestune, and has joint ventures with Volkswagen, Audi, Jetta, and Toyota.

With over 70 years of development, FAW has established five major production bases across China, with an annual vehicle production capacity exceeding 5 million units and cumulative sales surpassing 61 million units.

In 2024, FAW delivered over 3.2 million vehicles, with its Hongqi brand achieving seven consecutive years of growth. The company is now accelerating its global expansion under the "All in NEVs" transformation strategy.

Leapmotor, founded in 2015, is a technology-driven smart EV company that independently develops and manufactures core vehicle components, including electric drive and intelligent systems.

In 2023, Stellantis Group acquired a stake in Leapmotor. The two companies launched Leapmotor International in 2024, a joint venture aimed at expanding into global markets.