FAW Jiefang Accelerates Global Strategy: Plans to Establish Wholly-Owned Subsidiaries in 8 Countries
On July 1, 2025, FAW Jiefang Group Corporation held its 27th board meeting of the 10th session, where it reviewed and approved the Proposal on Establishing New Overseas Subsidiaries. As part of its comprehensive overseas industrial strategy and to accelerate localized operations, FAW Jiefang plans to invest in eight countries, including Uzbekistan, Indonesia, Vietnam, Saudi Arabia, and Mexico, establishing wholly-owned subsidiaries with a total investment of RMB 498 million (approximately USD 68.5 million). This move is a significant step in advancing the company's "SPRINT 2030" internationalization strategy, aimed at enhancing global capabilities and boosting overseas sales.
Strategic Background and Recent Achievements
Since launching the "SPRINT 2030" strategy in December 2024, FAW Jiefang has consistently expanded its global footprint. Key milestones include:
- Establishing FAW Jiefang Group International Vehicle Co., Ltd. in August 2024 to end-to-end manage overseas operations.
- Acquiring FAW Africa Investment Co., Ltd. and Jiefang Motors (Tanzania) Co., Ltd. in late 2024.
- Signing a multi-thousand-unit agreement with Indonesia's GMM Group and a memorandum of cooperation with South Korean partners.
The establishment of subsidiaries in eight new countries marks a new phase in FAW Jiefang's international journey, focusing on high-potential markets through forward-looking planning and localized operations.
Global Presence and Operational Scale
FAW Jiefang's products are now exported to 100 countries and regions across Eastern Europe, Central Asia, Southeast Asia, Latin America, and Africa. The company boasts:
- 127 first-tier distributors in 44 countries and regions.
- Nearly 300 sub-dealers worldwide.
- 3 overseas subsidiaries (e.g., in South Africa and Tanzania) and 23 assembly plants across 14 countries.
Future Goals and Strategic Initiatives
FAW Jiefang aims to fully implement six core international strategies:
1. Globalized Layout
2. Multi-Brand Operations
3. Technology Leadership
4. Business Innovation
5. Collaborative Win-Win Partnerships
6. People-Oriented Approach
The company is steadily progressing toward its vision of becoming "China's First, World-Class" in the commercial vehicle industry.
Leadership Insights
In a recent interview, FAW Jiefang's General Manager and Deputy Party Secretary Yu Changxin emphasized that the company's globalization efforts extend beyond mere trade exports. Instead, they involve industrial globalization—engaging entire ecosystem partners, including distributors, suppliers, and financial service providers, to build a world-class national automotive brand. The company has already guided over 20 domestic distributors to expand into 30 countries and regions.
Financial Performance and Market Growth
In the first half of 2025, FAW Jiefang achieved a 23.2% market share in China's medium and heavy-duty truck sector, maintaining its industry leadership. Notably, overseas sales of medium and heavy-duty trucks grew 58.3% year-on-year, with markets like Saudi Arabia, Vietnam, and Mexico seeing over 100% growth.
Conclusion
FAW Jiefang's aggressive overseas expansion reflects its commitment to transforming from a traditional trade model to deep localized operations. With the "SPRINT 2030" strategy as its guide, the company is poised to enhance its global competitiveness, drive innovation, and solidify its position as a leader in the international commercial vehicle market.
