FAW Jiefang eyes 500,000 units of annual NEV sales by 2035

Shanghai (Gasgoo)- FAW Jiefang, the commercial vehicle arm of FAW Group, said it expects its annual new energy vehicle (NEV) sales to reach 120,000, 320,000, and 500,000 units in the year of 2025, 2030, and 2035 respectively, accounting for 20%, 50% and 70% of the company's total sales.

FAW Jiefang's chairman Hu Hanjie releasing the "15333" strategy; photo credit: FAW Jiefang

The target is part of the “15333” NEV strategy FAW Jiefang announced on Sept. 29. The “1” embodies the company’s ambition to became a leader among global CV makers in the new energy era and offer clients the “China’s No.1 and world-class” new energy solutions.

Aside from the sales goal, FAW Jiefang aims to gain 50 billion yuan ($7.73 billion), 150 billion yuan ($23.191 billion), and 250 billion yuan ($38.652 billion) from the sales of NEVs in 2025, 2030, and 2035.

The “5” stands for the five NEV platforms the company plans to develop to cover tractor-trailers, trucks for unloading, dumping truck, special vehicles, coaches.

The three “3”s refer to three technical routes (all-electric, hybrid electric, and fuel cell), the deployment of three areas (R&D, production capacity, and ecosystem), as well as three new energy CV-dedicated services (the separation of cars and batteries, the car rental and transport capacity connection, and the recycle of used cars and batteries).

During the 14th Five-year Plan period (2021-2025), FAW Jiefang plans to pour over 20 billion yuan ($3.092 billion) in building new energy innovation bases in four countries, and invest more than 10 billion yuan ($1.546 billion) in constructing a base focusing on fuel cell vehicles and systems, according to Hu Hanjie, chairman of FAW Jiefang.

FAW Jiefang setting up NEV business unit; photo credit: FAW Jiefang

Whiling releasing the strategy, FAW Jiefang also announced the establishment of its NEV business unit. Meanwhile, it signed contracted on spot with 12 logistics companies for the orders of 10,000 NEVs.