4.9 billion! Faway Wheel show the will to shatter stalemates
4.9 billion! Faway Wheel once again won the independent luxury brand seat order, show the will to shatter stalemates
(hereinafter referred to as “Faway”) announced that the company had recently received a notification letter from a well-known independent luxury brand OEM (hereinafter referred to as “the customer”) that the company would act as the customer's parts supplier to develop seat products for two of its models.
According to the announcement and customer's plan, the said project is expected to commence bulk supply in March 2026 and September 2026, and the project is expected to have a life cycle of six to seven years, with the total life cycle sales amount expected to be RMB4.9 billion.
From the 2024 annual report published by Faway wheel, it can be understood that at present the only subsidiary of Faway wheel's holding that operates the seat business is Changchun Fuwei Andao Tuo Automotive Trim Systems Co. so it can be 100% certain that it is Fuwei Andao Tuo that has got the seat fixed project of the announcement.
Borrowing this announcement, let's go back to the big events of Faway this year, from which we can see the determination of its internal vigorously change and urgently need to break the situation.
The evening of May 8, Faway (at that time has not been renamed) announced that the company recently received a well-known independent luxury brand OEM's fixed-point notification letter, the above project is expected to start batch supply in 2026, the project is expected to have a life cycle of four years, the total life cycle of the sales amount is expected to be 1.39 billion yuan (the same is the Fuwei Andotech to undertake the project).
On May 21, Faway (then not yet renamed) announced that it had received the order for instrument panel products from a well-known new energy brand OEM, and was expected to start bulk supply in 2026, with a projected life cycle of 5 years and a total life cycle sales amount estimated to be RMB1.06 billion.
On June 4, Faway (which had not yet changed its name at that time) announced that it had received orders for exterior trim products from well-known new energy brand OEMs, and was expected to start bulk supply in March 2026, with the project expected to have a lifecycle of 6 years, and the total lifecycle sales amount expected to be RMB800 million.
On June 6, Faway officially changed its name to Fuwei Co. The name change is an important measure for Fuwei Co. to implement one of the “four strategies”, namely, neutralization strategy, and to promote the development strategy of grouping, which marks the strategic upgrade of the company to reduce the dependence on a single group of customers, enhance the market-oriented operation capability, focus on technology research and development and innovation, and seize the technological high point of the industry. It is a strategic upgrade of the company to reduce its dependence on a single conglomerate customer, enhance its market-oriented operation capability, focus on technology R&D and innovation, seize the industry's technological high point and diversify its business layout.
Looking back in recent years (and possibly history) Fuwei never released a project set point announcement, but now follow the example of Jifeng shares, Tiancheng auto-control of these domestic manufacturers, but also made the decision to get rid of the word “FAW” name change, why?
The reason is very simple, the northeast region interior group to see two rich - Fu Wei Group and Fusheng Group, the former volume is much larger than the latter, however, in the expansion of new forces business, the development of intelligent cockpit new market action is obviously slower than Fusheng to come.
Fusheng's Market Movements
Fusheng Group itself has a seat factory, and Changchun Fusheng Lear Automotive Seating Systems Co., Ltd. which is a 51:49 joint venture with Lear (China), has been mainly serving FAW Group's brands for many years, with production bases in Chengdu, Tianjin, Foshan, Qingdao, etc., and belongs to the suppliers within the FAW system.
On May 25th, 2020, Fusheng received the first inquiry from Ideal, which is the first out-market customer of Fusheng. The senior management made a decision on the spot, in order to better support new energy vehicles, faster response to the ideal design changes, founded Changzhou Zhuojun, and within two months set up a 13,000 square meters plant located in Wujin National Hi-Tech Zone, which is only 4.4 kilometers away from Ideal.
Changzhou Zhuojun realizes on-time delivery of L8 and L9 seats. At the peak, more than 1,000 sets of whole chairs came off the production line in a day. Taking Changzhou base as a successful case, JOYCE started to attack the market and expand externally, and has built production bases in Changchun, Changzhou, Hefei, Chengdu, Yuncheng, Tianjin, Foshan, etc. The R&D centers are distributed in the regions of Shanghai, Changchun, Hefei, Changzhou, etc., and there are also overseas business divisions in Asia-Pacific and Germany.
Regardless of whether these projects are of high quality and whether they can realize the potential, at least Fusheng is really one step faster in responding to the actions of new forces in the market.
Meanwhile, now that the new power models are rolling the third space, the requirements for intelligent cockpit are extremely high, and the layout of the production and R&D capability of intelligent cockpit system becomes extra important for Tier 1.
In May 2022, Fusheng Group and Faurecia jointly established Changchun Fusheng Faurecia Intelligent Cockpit System Co., Ltd. with a registered capital of 60 million (paid-in 3 million), 50% held by Faurecia, 30% held by Changchun Fusheng Group, and 20% held by Zhuojun Investment. Although it seems that this business does not seem to get attention, but at least the layout.
FuWei's Market Moves
Fuwei shares main business automotive seats, instrument panels, door panels, seat skeleton bumper, door sill assembly, front enclosure module assembly, rubbing strips, grille assembly, spoiler, mirrors, automotive filters, automotive lighting fixtures, automotive stamping products, wheel assemblies, automotive electronics, etc. Strictly speaking, the layout of the interior products are more abundant and more capable.
But for a long time the main customers are brands under FAW Group, such as FAW Red Flag, FAW Pentium, FAW Volkswagen, FAW Toyota, FAW Audi.
With those 2 seat-setting projects at the beginning of the article, there is basically no need to guess that the autonomous luxury brand is FAW Hongqi.
Foresight
This year, Fuwei has identified automotive cockpit system, automotive exterior, intelligent vision, low-carbon business and derivative business as the core business segments, taking end-user perception as the starting point, providing customers with soft and hard integrated intelligent product solutions, and striving to become the first choice in the hearts of OEMs with its leading products and services.
We believe that in the future, Fuwei will continue to improve the company's innovative R & D responsiveness and delivery strength, drive sustainable business growth and enhance the company's brand value.
