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FAW Group Corporation
Type state-owned enterprise
Founded July 15, 1953
Headquarters Changchun, China
Industry Automotive
Products Automobiles
Employees 132,000 (2007)
Subsidiaries Hongqi, Besturn
Website FAW.com

FAW Group Corporation (simplified Chinese: 第一汽车集团traditional Chinese: 第一汽車集團pinyin: Dìyī Qìchē Jítuán) is a state-owned enterprise with publicly-traded subsidiaries: FAW Car Company (SZSE: 000800), Tianjin FAW Xiali Automobile Co Ltd (SZSE: 000927) and Changchun FAWAY Automobile Components Co Ltd (SSE: 600742). A maker of automobiles, municipal and touring buses, custom bus chassis, mini-vehicles, light, medium, and heavy-duty trucks,[1] and auto parts,[2] FAW became China's first automobile manufacturer when it unveiled China's first domestically-produced car, the Hong Qi, in 1958.[3]

FAW is the largest machinery corporation[4] and the second largest auto manufacturer in China.[5]

FAW has its headquarters in Changchun, a tree-lined city on China’s northeastern Songliao Plain.[6][7]

Contents

History

In 1953, the first year of the first five-year plan,[8] First Automobile Works broke ground for its first factory,[1] but wouldn't produce its first product, the CA-10 4-ton Jiefang commercial truck, for three more years.[9] Soviet Russia lent assistance during the early years of First Automobile Works' existence, providing technical support, tooling and production machinery.[8] Before the factory opened, 39 Chinese trainees traveled to the Stalin truck factory for instruction in truck production.[9]

First Automobile Works initially made only commercial trucks[1] but started producing passenger cars in 1958.[9] These vehicles, the Hong Qi luxury sedans, were the first domestically-produced Chinese cars.[9] Only for party elite, the design changed little over their thirty year-long production run.[10]

Though it was not the first Chinese automaker to take on foreign partners, (SAIC was the first, in 1984 and also with VW) FAW's early joint venture with Volkswagen in 1990 made it the second Chinese auto company to develop a strong cooperative relationship with a foreign counterpart, something which is mandatory for foreign automakers selling products in the Chinese market.[11][12] Other foreign joint ventures followed. FAW acquired Tianjin Xiali and as a result ended up with Toyota as a foreign joint venture partner,[10] in 2003.[13] FAW established a joint venture with General Motors in 2009[14] and has joint ventures with a handful of other foreign companies as well.

In 1992, the name First Automobile Works was changed to China FAW Group Corporation.[15]

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Badge

The FAW "winged 1" badge is derived from the Chinese, 一汽 ("一" meaning "first" and "汽", "automobile"), and depicts a hawk spreading its wings.[15] The logo was introduced in 1964.[16]

Brands

FAW sells products under at least ten different brands, including its own. These include Besturn, established on Aug. 18, 2006,[17] Huali, Shenli,[18] Pengxiang,[19] Dario,[20] Yuan Zheng,[21] Xiali[20] and the much older Hong Qi (meaning "Red Flag"[10]) and Jie Fang. Its foreign joint ventures also manufacture General Motors, Toyota,[20] Audi and Volkswagen-branded vehicles for sale in China.

Export countries

While primarily manufacturing products for sale on its home market, FAW has exported products to many countries beginning in 1957 with the sale of three commercial trucks to a businessperson in Jordan.[9] FAW has had customers in more than 80 countries throughout the life of the company.[6] Nations FAW has exported products to include: Egypt,[22] Iraq,[23] Kenya,[23] Mexico,[24][25] Pakistan,[23] Russia,[26][27] South Africa[28] and Uruguay.[29]

Subsidiaries

FAW has 28 wholly owned subsidiaries and controlling shares in 18 partially owned subsidiaries. These include the wholly-owned FAW Jiefang Truck Co Ltd and FAW Bus and Coach Co Ltd, foreign joint ventures FAW-Volkswagen Automobile Co Ltd and Tianjin FAW Toyota Motor Co Ltd, and the publicly-traded FAW Car Co Ltd,[1] Tianjin FAW Xiali Automobile Co Ltd[30][1] and Changchun FAWAY Automobile Components Co Ltd,[1] formerly known as Changchun FAW Sihuan Auto.[31]

  • The 9th Industrial Machinery Design and Research Institute - A wholly-owned subsidiary since 1958, it is responsible for production base design.[32]
  • Chengdu Araco Automobile Trim Part Co Ltd - A joint venture with Japan's ARACO, it produces interior trim parts.[33]
  • Chengdu FAW Automobile Co Ltd - Became a partially-owned subsidiary in 2002 after the acquisition of the Sichuan Bus Company.[33] FAW was able to retain Sichuan Bus Company's former cooperation effort with Toyota, and as of 2003 Chengdu FAW Automobile Co Ltd produces “Huaxi” brand light and medium buses, spare parts and the Toyota Landcruiser Prado.[33]
  • Dalian Diesel Engine Co - Became a wholly-owned subsidiary in 1986, 35 years after its inception.[34] It produces engines for commercial trucks, construction equipment and agricultural machinery.[35]
  • FAW-Volkswagen Automobile Co Ltd - Established in 1991, it is a large-scale joint venture automobile manufacturer between FAW Group and Volkswagen AG, with share investments, as of 2003, of 60% and 40% respectively.[36] It manufactures Audi and Volkswagen-branded automobiles for sale in China.[37]
  • FAW Bharat Forging Co Ltd - A joint venture with India's Bharat Forge Ltd, it manufacture highly engineered forged automotive components for passenger cars, buses, commercial vehicles as well as forged products for the railway, mining, steel, and petroleum industries.[38]
  • FAW Car Co Ltd - A publicly-listed subsidiary created in 1997 from the merger of Changchun Gear Factory, the FAW No. 2 Engine Factory, the FAW No. 2 Car Factory and the former FAW No. 1 Car Factory.[39] As of 2003 it produced the “HongQi” luxury sedan, other car models, transmissions[39] and engines.[40] It has an assembly line in western Changchun.[41]
  • FAW Forging Co Ltd - Established as a subsidiary on May 31 2000, it produces die and hand-forged auto parts.[42]
  • FAW Foundry Co Ltd - A wholly-owned subsidiary that produces cast auto parts, including engine blocks.[43][44]
  • FAW Hainan Automobile Co Ltd - Operates FAW's southernmost production facility,[18] which manufactures license-built Mazdas.
  • FAW Huali (Tianjin) Automobile Co Ltd - A joint venture with Tianjin Automotive Industry (Group) Co Ltd that, as of 2003, manufactures re-badged Daihatsu models under the brand name Dario.[20]
  • FAW Hongta Yunnan Automobile Co Ltd - Created in 1997 when FAW purchased a controlling interest in Hongta Yunnan Automobile Co Ltd, and, as of 2003, it produces 1/2-3 ton pickups and light trucks and license-built Daihatsu models.[45]
  • FAW Import and Export Corporation (FAWIE) - Established as a subsidiary in 1984, FAWIE is the international sales and marketing division of FAW Group.[27] Overseas joint ventures and technical cooperation with foreign countries are also within its purview.[27] It has established overseas production facilities in Pakistan, South Africa, Tanzania, Ukraine, Vietnam and Russia.[26]
  • FAW Jilin Automobile Co Ltd - Founded in 1980, and became a subsidiary of FAW Group in 1987, it manufactures mini vehicles, ie trucks and buses no larger than a compact car.[29]
  • FAW Jie Fang Truck Co Ltd - Established as a subsidiary on January 18 2003, it is a producer of medium and heavy trucks with two subsidiaries, Qingdao Truck Division and FAW Trading Company.[46] It is one producer of Jie Fang brand trucks, and as of 2003, utilizes production lines dating from 1956.[46]
  • FAW Jiaxin Heat Treatment and Electroplate Technology Co Ltd - A wholly-owned subsidiary that designs and manufactures complete heat treatment and electroplating systems.[44]
  • FAW Sihuan Automotive Co Ltd - A part-owned subsidiary established in 1997 that designs, produces and markets a complete range of medium and heavy truck bodies, wheels, and components for both FAW and other manufacturers.[47] It has a joint venture with Johnson Controls Inc, Changchun Fawer-Johnson Controls Automotive Systems Co Ltd, that produces a wide range of interior components including automotive seats and seating systems, seat trim covers, seat mechanisms, seat foam padding, instrument panels, door panels, headliners, instrument clusters, parcel rack, overhead consoles, and electronics.[47]
  • FAW Tool Co Ltd - A wholly-owned subsidiary that specializes in development and production of non-standard tools for the special needs of the automotive manufacturer.[48]
  • FAW Tool and Die Co Ltd - A wholly-owned subsidiary that manufactures automotive dies.[48]
  • FAW Toyota Motor Sales Co Ltd (FTMS) - Sells products made by joint-venture Tianjin FAW Toyota Motor Co Ltd in China through its network of 260 dealerships (as of 2007), and is also responsible for after-sales support of Toyota and Daihatsu vehicles produced in China.[49]
  • FAW Tianjin Xiali Automobile Co Ltd - Founded in 1968, it manufactures compact cars, and has had a joint venture with Toyota Motor Corporation, Tianjin FAW Toyota Motor Co Ltd (TFTM), since 2002.[27][13]
  • FAW Qiming Information Technology Co Ltd - Established in 2000, the company is responsible for business development, sales & marketing, after sales support, system integration, and GPS research & development.[50] A vehicle-monitoring division of its GPS research & development arm used a system purchased from Avaya to "monitor over 3,000 vehicles throughout China",[50] for unknown purposes.
  • GS Motors SA de CV A joint venture with Grupo Salinas to manufacture and distribution of cars in México and latinamerica.
  • Wuhu FAW Yangzi Automobile Co Ltd - A joint venture with Yangzi Group, and Wuhu Automotive Industry Company, it manufactures trucks, custom bus chassis, and medium buses.[51]

Production bases and facilities

FAW's production bases are located in 14 provinces throughout China,[6] including the provinces of Jilin, Heilongjiang, Shandong, Hainan, Sichuan, Yunnan and Tianjin.[1]

Changchun

A FAW R&D and test center is located in in Changchun, Jilin.[52]

FAW has its headquarters in Changchun.[7]

FAW-Volkswagen has a production base here as well.[53]

Dalian

An unfinished bus production base in Dalian, Liaoning at the Dalian Economic & Technological Development Zone is expected to be completed in 2010 and will produce hybrid buses.[54]

The Dalian division of FAW Bus and Coach Co Ltd manufactures “Jie Fang” and “Yuan Zheng” brand medium and large buses in a 186,300 square meter factory here.[21]

Another Dalian base produces engines for commercial trucks, construction equipment and agricultural machinery.[35]

Chengdu

An unfinished production base in the Longquan Economic Development Zone in Chengdu, Sichuan replaces an older Sichuan base, and will produce passenger cars for the FAW and Toyota joint venture, Tianjin FAW Toyota Motor Co Ltd, when it is completed in 2010.[24]

FAW Jie Fang Truck Co Ltd has a production base here.[19]

Another Chengdu site produces cars for FAW-Volkswagen.[53]

Hainan

Built in 1958, Hainan Island Test Grounds is an auto testing site that includes a test track.[18]

FAW Hainan Automobile Co Ltd operates FAW's southernmost production facility here.[18] It manufactures license-built Mazdas.

Pudong

FAW Jie Fang Truck Co Ltd has a production base here.[19]

Tianjin

Plants No. 1, No. 2 and No. 3 in the provincial-level city of Tianjin produce automobiles for FAW and Toyota's joint venture Tianjin FAW Toyota Motor Co Ltd. Plant No. 3 is located near the 9th Street Tianjin Economic and Technological Development Zone and began production on May 30, 2007.[55][49] The other two Tianjin locations, Plant No. 1 and No. 2, are in Yangliuqing Town, Xiqing District, and on the 9th Street of Tianjin's Economic and Technological Development Zone.[55]

Tianjin FAW Toyota Motor Co Ltd has an engine plant in Tianjin.[56]

Qingdao

A FAW Jie Fang Truck Co Ltd medium, heavy, and severe-duty truck production base is located in Qingdao, Shangdong.[19]

See also

References

  1. ^ a b c d e f g About FAW > Profile FAW Official Site
  2. ^ Products > Components & Parts FAW Official Site
  3. ^ Key Events, May 21, 1958/Aug. 1, 1958 FAW Official site
  4. ^ FAW Ranks 1st among Top 500 Chinese Machinery Corporations FAW Official Site, Aug 7, 2009
  5. ^ SAIC expects rosy FY profit figures China Daily, Jan 7, 2010
  6. ^ a b c FAW Today FAW's 50th Anniversary Something
  7. ^ a b Locations > Search by Region FAW Official Site
  8. ^ a b FAW Group Steps up Global Expansion FAW Official Site, Mar 27, 2007
  9. ^ a b c d e About FAW > Key Events FAW Official Site
  10. ^ a b c The home team economist.com, Nov 13th 2008
  11. ^ China: New Car Industry Policy Hg.org, Oct 1, 2004
  12. ^ Theme and variations economist.com, Nov 13th 2008
  13. ^ a b Home > About Us > Company Introduction > TOYOTA Motor Co., LTD. Tianjin Xiali Official Site
  14. ^ GM, China FAW Set Up Commercial-Vehicle Joint Venture Bloomberg.com, August 30, 2009
  15. ^ a b About FAW > Corporate Trademark FAW Official Site
  16. ^ About FAW > Key Events FAW Official Site
  17. ^ About FAW > Key Events FAW Official Site
  18. ^ a b c d Page 40 FAW 50th Anniversary Something
  19. ^ a b c d Page 34 FAW 50th Anniversary Something
  20. ^ a b c d Page 33 FAW 50th Anniversary Something
  21. ^ a b Page 32 FAW 50th Anniversary Something
  22. ^ New China-made Cars Launch at Egypt Market FAW Official Site, Jul 3, 2009
  23. ^ a b c FAW 50th Anniversary Something
  24. ^ a b FAW Enters Into Fast Growing Mexican Car Market FAW Official Site, Nov 25, 2007
  25. ^ FAW Exports 920 Xiali cars to Mexico FAW Official Site, Jun 25, 2009
  26. ^ a b FAW Group Tapping Russian Market FAW Official Site, Mar 28, 2007
  27. ^ a b c d FAW's Xiali Division Launches New C1 Hatchback in Russia FAW Official Site, Jun 11, 2007
  28. ^ FAW¡¯s Jiefang Brand Cement Mixers Popular in South Africa FAW Official Site, Jun 14, 2007
  29. ^ a b FAW Exported Mini Vans to Uruguay FAW Official Site, Jan 22, 2008
  30. ^ TIANJIN FAW XIALI AUTOMOBI-A businessweek.com
  31. ^ Changchun Faway Automobile Components Company Limited corporateinformation.com
  32. ^ Page 26 FAW 50th Anniversary Something
  33. ^ a b c Page 38 FAW 50th Anniversary Something
  34. ^ Page 31 FAW 50th Anniversary Something
  35. ^ a b Deutz (Dalian) Engine Starts Operation FAW Official Site, Sep 18, 2007
  36. ^ Page 21 FAW 50th Anniversary Something
  37. ^ Page 23 FAW 50th Anniversary Something
  38. ^ About FAW > Key Events FAW Official Site
  39. ^ a b Page 17 FAW 50th Anniversary Something
  40. ^ Page 19 FAW 50th Anniversary Something
  41. ^ Page 18 FAW 50th Anniversary Something
  42. ^ Page 12 FAW 50th Anniversary Something
  43. ^ Page 13 FAW 50th Anniversary Something
  44. ^ a b Page 14 FAW 50th Anniversary Something
  45. ^ Page 39 FAW 50th Anniversary Something
  46. ^ a b Page 9 FAW 50th Anniversary Something
  47. ^ a b Page 16 FAW 50th Anniversary Something
  48. ^ a b Page 15 FAW 50th Anniversary Something
  49. ^ a b Tianjin FAW Toyota Launches New Plant and Corolla FAW Official Site, May 30, 2007
  50. ^ a b Page 25 FAW 50th Anniversary Something
  51. ^ Page 37 FAW 50th Anniversary Something
  52. ^ Innovation FAW Official Site
  53. ^ a b FAW-Volkswagen Launches Second Jetta Production Location FAW Official Site, Jul 30, 2007
  54. ^ FAW Builds up Dalian New-energy Bus Plant FAW Official Site, Jun 24, 2009
  55. ^ a b Home > About Us > Company Introduction > TOYOTA Motor Co., LTD. Tianjin FAW Toyota Official Site
  56. ^ Tianjin FAW Toyota to Launch New Engine Plant FAW Official Site, Apr 20, 2007

External links


First Automotive Group Corporation
Type Public
Founded July 15, 1953
Headquarters Changchun, China
Industry Automotive
Products Automobiles
Employees 132,000 (2007)
Website FAW.com

First Automotive Group Corporation (simplified Chinese: 中国第一汽车集团; traditional Chinese: 中國第一汽車集團; pinyin: Zhōngguó Dìyī Qìchē Jítuán) is China's first automobile manufacturer. FAW is one of the "Big Five" Chinese automobile manufacturers along with Dongfeng Motor Corporation, Shanghai Automotive Industry Corporation, Chang'an Motors, and Chery Automobile. The company was established in 1953 with ranges such as Jiaxing mini MPVs, Xiali saloon cars and Hongqi luxury cars.

Contents

History

FAW Group started out in 1953 as First Automobile Works with assistance from ZIL and finished in 1956. During its first 30 years, its major product was Jiefang CA-10 medium truck, the first mass-produced automobile in China based on ZIS-150. A couple of years after the CA-10, they introduced the CA-30 6x6 army truck based on ZIL-157. The next generation of Jiefang truck, CA-141 rolled out in 1988. In 1991, FAW formed joint venture with Volkswagen and began to focus on car manufacture. Since then, it has formed joint ventures with other automobile giants such as Toyota and Mazda. In the same time, FAW maintained its own car brand Hongqi since 1958. Through purchasing and expanding, it has become one of top three automobile manufacturers in China. (The other two are Shanghai Automotive Industry Corporation and Dongfeng Motor Corporation) By 2004, its car sales had passed 1 million units.[1]

Logo interpretation

Symbol

The symbol represents the combination of Chinese word "一汽" (meaning "China FAW Group Corporation") which was transformed visually, Chinese character "一" means "first" and "汽" means "automobile", depicting the visionary of a hawk spreading its wings.

Meaning

FAW flies throughout the vast skies of the world, spreading its wings and soaring high and far into the bright blue sky.

Technology

In 1988, Chrysler sold much of the machining equipment, as well as a license to the design, of their K-engine 2.2 L straight-4 engine to FA

Hongqi

FAW Hongqi ("Red Flag" in Chinese) is a luxury unit of FAW. It began in 1958, at first building Soviet-style limousines[2] but later contracting with Audi and Lincoln for designs. FAW is recently manufacturing the Hongqi HQ3 (based on the Toyota Crown). At the 2005 Shanghai Auto Show, the company unveiled the Hongqi HQD concept car, with designs based on the Hongqi CA770 limousine. In the 2008 Beijing Auto Show, FAW also premiered the Hongqi HQE concept car and also a Hongqi SUV concept car.

Haima

While FAW Mazda is a joint venture with Mazda to build Mazda cars in China, and sold under the Mazda brand, FAW Haima car are badge engineered from Mazda cars and sold under the Haima brand. The FAW Haima Motor Co is a subsidiary of FAW, based on Hainan Island in South China. "Haima" is a blend of "HAInan" and "MAzda." The Hainan Auto Works firm began as a joint venture with Mazda in the early 1990s, and produced Mazda-based vehicles such as the Mazda 323-based Hainan CA7130. Hainan Auto Works was taken over by FAW in the late 1990s. FAW had another joint venture with Mazda, which currently produces the Mazda6 in Jilin Province. Haima has since been relaunched as a separate brand similar to Xiali and Hongqi, with its own range of internally-designed models. The first will be the Haima Family II, a 4 door sedan based on the Mazda Protege.

Besturn

FAW recently manufactured the FAW Besturn (based on the Mazda 6), also known as FAW Benteng.The Besturn compact car B50 series is commercialised in China now.

Joint ventures

FAW operates many joint venture manufacturing concerns in China. Sihuan FAW Toyota Motor (Changchun City, Jilin Province) produces the Toyota Prius for the Chinese market. FAW-Volkswagen and Audi produce in Changchun City the FAW-VW Jetta, Bora, Sagitar, Audi A4 and Audi A6L (a long wheelbase version of the A6). FAW also has a joint venture in Russia with Hebei Zhongxing at Altaysky Kray to produce a local version of the Zhongxing Admiral. Tianjin Xiali produces the Miles ZX40, an electric version of the Daihatsu Move which became the first Chinese-built vehicle sold in the United States when it was offered in Mid 2006 by Miles Automotive Group.

List of joint-ventures

FAW plant in Mexico

On November 22, 2007, FAW and Grupo Salinas signed an agreement to build a plant in ZinapécuaroMichoacan, Mexico, which will be ready on 2010. Company representatives and the President of México layed the symbolic foundation stone on November 2007. When the plant opens FAW will become the second Chinese automaker to operate a plant outside of China and the first to open one in the important NAFTA region. Together with the plant deal Grupo Salinas said that it will import the cars and sell them in their Elektra stores throughout the country, which they started doing in 2008. (Though they will not be the first Chinese company selling vehicles in Mexico as several companies already sell off road vehicles imported from China.) In Mexico City the cars are sold through specialized Elektra stores while elsewhere in the country the cars are sold through standalone dealers.[3] Five models range in price from approximately US$7000 to US$12,000.

According to local news, by mid-June 2009, the plant construction has been cancelled. Even the foundation stone was removed, according to people living in the surroundings. No further construction activities are reported in the site, either.

See also

References

  1. FAW car sales top 1 million units
  2. Hongqi, the history of a Chinese limousine
  3. Elektra Transportes website (Spanish)

External links

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