The Chinese automotive market has shown a positive trend in production and sales at the start of the new year. Against this backdrop, Dongfeng Automobile Group Co., Ltd. (DFAC) has actively responded to market changes, implemented a transformation strategy, and strengthened the company’s core competitiveness through innovation in institutional mechanisms. The company has not only pursued balanced development in both joint ventures and independent businesses, but also strategically shifted its product structure from traditional fuel vehicles to new energy vehicles.
In 2023, DFAC achieved significant results in key technology areas, mastering over 1,930 key technologies, obtaining 2,177 authorized invention patents, and holding 21,000 valid patents. These technological breakthroughs provide solid technical support for the company’s sustained development. In the field of new energy, the company has completed industrial distribution of “three electrics” (battery, motor, and electric control) and mastered a series of key technologies, laying a foundation for the development of new energy vehicles.
In terms of brand building, DFAC has launched VOYAH and Mingshi, two new energy vehicle brands, and several new products to meet the diversifying market demands. The launch of these new brands and products enriches the company’s new energy vehicle product line.
Operationally, DFAC performed steadily over the past year, with growth in new energy vehicle sales and exports. In 2023, hybrid and electric vehicle sales reached 524,000 units, a year-on-year increase of 4.3%. VOYAH brand sales exceeded 50,000 units, up 160% year-on-year. Automobile exports were 231,000 units, a year-on-year increase of 15%.
In early 2024, DFAC continued to maintain a growth trend in sales, with a total vehicle sales of 420,000 units, a year-on-year increase of 41.5%. New energy vehicle sales reached 116,000 units, an astonishing year-on-year increase of 198.1%, reflecting the robust growth momentum in the new energy vehicle market. In terms of automobile exports, a sales volume of 32,000 units represented a year-on-year increase of 21.5%.
Looking ahead, DFAC has set sales targets for 2024 at 3.2 million units, with overseas export targets up to 300,000 units. The company plans to launch 14 new self-developed energy passenger cars and 10 new energy commercial vehicles in 2024 and 2025, to further consolidate and expand its influence in the new energy vehicle market. At the same time, DFAC will continue to increase R&D investment, planning to invest more than 50 billion yuan in the next three years, aiming for R&D investment intensity to exceed 6% by 2025.
In terms of joint ventures, DFAC will also accelerate its transformation into new energy, planning to add more than 140 overseas dealers in 2024 to enhance the company’s global market layout and competitiveness. This series of strategic deployments and proactive actions demonstrate DFAC’s determination and strength in the field of new energy vehicles, contributing positively to the sustainable development of the industry.
This article is a translation by AI of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.