Shanghai (ZXZC)- FAW Group celebrated on April 15 the first spade cut for a new Changchun-based plant which is designed to produce new energy vehicles (NEVs) and intelligent-connected vehicles (ICVs) under its premium brand Hongqi.

(Photo source: FAW Group's WeChat account)

Involving a total investment of RMB7.8 billion, the plant is scheduled to be completed in 2022 with an annual vehicle capacity of 200,000 units and an expected yearly output worth RMB60 billion, according to the automaker. 

(Photo source: FAW Group's WeChat account)

Around twenty days ago, the state-owned automaker started in the same city the construction of a NEV & ICV innovation testing base, which covers an area of 266,000 square meters and involves a total investment of RMB2.69 billion. Led by China FAW Group R&D Center, the project will comprise three testing units focusing on NEV, ICVs and passive safety functions respectively.

FAW Group output and sold 556,948 and 607,675 complete vehicles respectively in the first quarter of 2020 (Q1). Hongqi contributed 21,626 units in production and 25,001 units in sale, an uplifting surge of 75.4% and 87.4% over a year ago. It was a strong contrast with the downturn in China’s overall auto market caused by the coronavirus spread.

(Photo source: FAW Hongqi's WeChat account)

The brand has to-day owned six models on sales, namely, the fuel-powered H5, H7, L5, HS5, HS7, and the all-electric E-HS3 crossover SUV. The Hongqi H9 full-sized sedan made its world's debut in early January and is set to hit the market in June 2020.

Last year, Hongqi successfully surpassed the threshold of 100,000 units in both annual outputs and sales, and is ambitious to double the sales in 2020. To achieve that goal, the automaker endeavors to lift its production capacity. On March 2, the revamped projected was completed and put into production, six days ahead of schedule. The retrofitting makes Hongqi's annual capacity grow to 150,000 units from 100,000 units.