GAC Group Signs Strategic Cooperation Framework Agreement with Yuchai Machinery

Guangzhou Automobile Group Co., Ltd. and Guangxi Yuchai Machinery Co., Ltd. formally signed a strategic cooperation framework agreement in Nanning, Guangxi Province on the 10th. Yu Ping, chairman of Guangxi Yuchai Group’s board of directors, said that the signing of the agreement lays a foundation for the future of the two sides’ in-depth cooperation, and has important implications for the long-term future development of both companies.
According to the agreement, the two sides decided to establish a strategic cooperative partnership based on complementary cooperation, resource sharing, long-term stability, and cooperative supply based on more than 20 years of good cooperation, sign a strategic cooperation framework agreement, and strengthen the two sides in the field of passenger cars and commercial vehicles. Cooperation will enhance both parties' technological innovation capabilities and market development capabilities to achieve strong alliances.
Luan Ping told reporters that the two sides will conduct comprehensive cooperation in the field of automotive power and components, and carry out independent technological innovation and cooperation in new energy sources such as passenger car power, hybrid power, and gas; deepen cooperation between light commercial vehicles of both sides and discuss The feasibility of medium- and heavy-duty engine project cooperation to jointly promote the cooperation of medium- and heavy-duty commercial vehicles; optimize and subdivide existing products, conduct joint planning and joint research and development of new products, achieve results sharing and channel cooperation, network sharing, and information Share.
GAC Group provides auto and vehicle parts design and manufacturing, automotive sales and logistics, auto finance, insurance and related businesses to domestic and foreign markets, and has an independent and complete production, supply, sales and R&D system. Yuchai Machinery is China's largest internal-combustion engine manufacturer and has a leading position in the research and development and innovation capabilities of diesel engines. The signing of the strategic cooperation framework agreement marks a substantial step in the comprehensive strategic cooperation between Guangzhou Automobile Group and Yuchai Machinery. It is expected that the bilateral cooperation trade volume within five years is expected to reach RMB 2 billion.

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