Shanghai (ZXZC)- China's stated-owned automaker FAW Group announced on June 27 that Xi Guohua, former president of CRRC Corporation Limited (CRRC), was appointed as the group's general manager, deputy party secretary. After the former general manager Xu Xianping left FAW Group for China General Technology as chairman in July 7, 2016, the group finally got the new general manager.

According to public information, Xi Guohua had assumed the position of chairman and party secretary in Xinxing Cathay International Group, a Beijing-based company dealing with assets management, capital operation and production management, after he resigned from CCRC as president.

In 2016, FAW Group and CCRC had signed a strategic framework agreement to build a long-term partnership in EV realm. Xi Guohua, the then president of CCRC, attended the signing ceremony as well.

Under the agreement, FAW and CCRC would conduct cooperation in technology, product and capital. Both companies would give full play to their respective advantages in electric vehicle and electric-driven system with the aim of extending collaboration in electric motor system for electric PV and highly-integrated motor drive system technology. Apart from promoting the existing cooperative projects, two companies would jointly develop electric CVs and electric PVs.

Some analysts considered that the joining of the new general manager indicates another potential new round of reform in FAW Group.

In May, FAW Group output 303,000 vehicles with a year-on-year jump of 22.4% and delivered 275,000 new vehicles with a year-on-year growth of 5.9%. For the first five months this year, the group's cumulative sales climbed 8.1% over the previous year to 1.445 million units, with its market shares rising 0.3% from the year-ago period.