FAW Group Invests in Leapmotor, Forms Powertrain Partnership
FAW Group will invest in Leapmotor as a strategic shareholder and collaborate on plug-in hybrid and range-extender powertrains.
>3 million units
What Happened
On December 28, FAW Group and Leapmotor signed agreements in Hangzhou. FAW Equity Investment will subscribe to newly issued domestic shares of Leapmotor, becoming a strategic shareholder. This capital integration aims to create strategic synergy between the two auto groups.
FAW Qixin Power will share resources with Leapmotor for collaborative development and production of plug-in hybrid and range-extender powertrains. The partnership also covers joint R&D, coordinated production, and global expansion of intelligent connected new energy vehicles.
Why this matters
The partnership combines FAW's scale with Leapmotor's EV expertise, aiming to accelerate China's new energy vehicle development and global expansion.
Terms in This Story
- plug-in hybrid
- A vehicle that combines an internal combustion engine with a battery that can be recharged by plugging into an external power source.
- range-extender
- A type of electric vehicle that uses a small internal combustion engine to charge the battery and extend driving range, not to directly drive the wheels.
- strategic shareholder
- An investor that takes a significant ownership stake in a company, often with the goal of influencing its strategy and operations.
Summarised from the linked release; details can be imperfect — always verify against the original source.