China News Service, Beijing, October 10th. Title: Xu Liuping, Chairman of FAW Group: It is estimated that about 110 billion yuan will be invested in the development of emerging technology industries during the 14th Five-Year Plan

　　China News Agency reporter Xia Bin

　　Car companies have had a hard time this year.

From January to August, under the influence of factors such as the new crown epidemic, economic downturn, and industrial transformation, the auto industry suffered a greater impact. China's auto sales reached 14.55 million vehicles, a year-on-year decrease of 9.7%, and market competition became increasingly fierce.

　　Facing the severe situation, China FAW Group seized the opportunity in crisis.

From January to August, FAW achieved sales of 2.268 million vehicles, a year-on-year increase of 6.4%; market share was 15.6%, a year-on-year increase of 2.4 percentage points; operating income was 431.6 billion yuan (RMB, the same below), a year-on-year increase of 10.7%; profit was 286.5 100 million yuan, and the operating quality has been steadily improved.

　　What is the secret of FAW Group's growth against the trend?

What are the goals during the upcoming "14th Five-Year Plan" period?

Recently, Xu Liuping, chairman of FAW Group, gave answers to a series of key questions in an interview with a reporter from China News Agency.

When talking about the development plan of independent brands, Xu Liuping revealed that during the "14th Five-Year Plan" period, FAW Group expects to invest about 110 billion yuan in the development of emerging technologies and industries.

　　At the 2020 Beijing International Auto Show, FAW Group brought a total of 12 exhibits in 9 models including Hongqi E-HS9, Hongqi H9, Hongqi H9+, and Hongqi HS7+, displaying the latest products and powerful technology of the Hongqi brand.

Xu Liuping said that in July, Hongqi E-HS9 made its debut and started blind booking. The auto show started pre-sales, which marks the Hongqi brand has taken a solid step in electrification and intelligent networking.

　　"This model has received eager attention from the domestic and overseas markets." Xu Liuping said that in just over a month, the car has received a total of 1,360 orders, including 650 orders from overseas, and he firmly believes that E-HS9 will be officially launched. In the future, it will surely achieve another success and become another important growth engine for the sales of Hongqi brand.

　　Hongqi's sales have increased by 42 times in more than three years, from more than 4,000 vehicles in 2017 to 200,000 vehicles this year, creating the "red flag speed" of China's auto industry and the world's auto industry.

"We understand that the so-called'red flag speed' is the ultimate humility and service to consumers, and the endless pursuit of technological innovation and product innovation." Xu Liuping said.

　　He believes that through nearly three years of exploration and practice, FAW Group has achieved significant results in its digital transformation in core areas such as R&D, manufacturing, and marketing.

Among them, the creation of a collaborative design and virtual simulation platform based on digital twins enables multi-disciplinary, integrated, and all-weather online collaborative development to increase development efficiency by more than 40% and shorten product development cycles by more than 6 months.

　　FAW Group also aims to build a world-class intelligent chemical factory, build an industrial Internet platform for the automotive industry, and build a digital factory based on 5G + industrial Internet. The vehicle production cycle is compressed by about 7 months, and the order delivery cycle is shortened by more than 26%.

　　Regarding future plans, Xu Liuping revealed that in terms of independent core technology innovation, it will aim at the development trend of electrification, intelligence, networking, and sharing of the "new four modernizations", and clarify the "system integration, new technologies" that will affect the future development of the automotive industry. Energy, intelligent network connection, energy-saving power, forward-looking modeling, key materials, intelligent chassis and basic performance and safety, NVH, quality and reliability, health, advanced manufacturing engineering and other 12 key areas as the focus, strive to "Five" to become the industry leader and strive to become a global leader in 2030.

　　In terms of brand building, Hongqi brand strives to reach or exceed the level of world luxury brands in the Chinese market in the "14th Five-Year Plan", and strive to achieve a comparable level in the world by 2030; Jiefang will continue to maintain the global medium and heavy-duty market in the "14th Five-Year Plan" The number one position in trucks, and strive to become the world's leading full range of commercial vehicle brands in 2030; Bestune strives to enter the industry's first camp during the "14th Five-Year Plan", and strive to enter the top three in the industry in 2030.

　　In addition, in terms of R&D and manufacturing, we will strive to achieve the leading position in the automotive industry in terms of R&D and manufacturing capabilities and levels during the "14th Five-Year Plan", and strive to be at a relatively advanced level in the global automotive industry by 2030; in terms of strategic cooperation, we must establish An all-round, wide-ranging, multi-level cooperation platform to form a core "circle of friends", but also strive to form a scientific and technological innovation cooperation ecosystem based on me, collaborative progress, new initiative, open cooperation, and build a "big circle of friends"; In terms of digital transformation, we will promote the comprehensive digitization, value and innovation of all businesses, realize business empowerment, product intelligence, ecological wisdom, and data value-added, and fully support the high-quality and innovation-driven development of independent brands.

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