China’s FAW Group [SASACJ.UL] goals to double its annual gross sales of Chairman Mao Zedong’s carmaker of selection, Hongqi, or Crimson Flag, to 200,000 models this 12 months and develop them additional to 1 million automobiles within the subsequent decade, its chairman Xu Liuping stated.
Hongqi, introduced in 1958 by the state-owned carmaker, can have 21 automobile fashions underneath its marque, and 18 of them might be electrified by 2025, Xu mentioned at an occasion held in China’s Nice Corridor of Folks late on Wednesday.
Hongqi, primarily based within the northeastern metropolis of Changchun, has undergone several revamps over a long time, falling out of favor for an interval within the Nineteen Eighties.
But it surely has seen the latest revival amid a nationwide push to advertise Chinese language manufacturers. It has been President Xi Jinping’s trip of selection throughout most recent army parades.
Thought to be a cultural image of China’s ruling Communist Social gathering, Hongqi in 2018 employed former Rolls-Royce designer Giles Taylor, whose works embrace Rolls-Royce’s Phantom VIII limousine and the model’s first sport-utility automobile mannequin Cullinan, to go its design group in Munich.
Xu stated China’s automobile market, the world’s largest, was additionally turning into its best, with Hongqi rising as a benchmark for China’s premium native manufacturers.
Hongqi expanded its dealership system to round 271 websites in China and bought 100,166 vehicles last year. It plans to promote 200,000 items this yr, 400,000 items in 2022, and 600,000 items in 2025, Xu stated. Hongqi additionally plans to develop its trip-sharing service.
In 2030, FAW, which has partnerships with Volkswagen and Toyota, total goals to promote round 800,000 to one million models, the 55-12 months-outdated Xu mentioned.
Hongqi’s bold gross sales targets, nonetheless, come as China’s automotive market is ready to fall for a second 12 months in a row. The market is predicted to contract by around eight% in 2019 and drop once more this yr.