Leapmotor's shares could potentially see FAW purchasing a 10% ownership, according to reports
Leapmotor and FAW Announce New Cooperation Projects
Chinese electric vehicle (EV) manufacturer Leapmotor has announced plans to collaborate with FAW Group on several new projects, including the development of EV models for export and the joint development of passenger new energy vehicles (NEVs).
The collaboration between the two companies began on March 3, 20XX, when they signed a strategic cooperation agreement. According to the agreement, Leapmotor and FAW will work together on developing NEVs and cooperate on parts. The specific details of the capital cooperation between the two companies to achieve full-industry-chain resource synergy were not disclosed in the report.
FAW Group is planning to acquire about 10% of Leapmotor's shares, aiming to become a strategic shareholder. Jiemian reported that FAW will collaborate with Leapmotor to develop new EV models based on Leapmotor's B platform for sale in overseas markets. The project handler for the development of electric vehicles for the foreign market by Leapmotor and FAW is not publicly specified.
Leapmotor has seen significant growth in the first half of this year, delivering 221,664 vehicles, representing a year-on-year increase of 155.68%. The company achieved net income of RMB 30 million ($4.2 million) in the first half of 2025, marking its first positive net income in a half-year period.
In addition to its cooperation with FAW, Leapmotor will also cooperate with FAW and Volkswagen's joint venture FAW-Volkswagen. The cooperation between Leapmotor and FAW-Volkswagen may be similar to that between Leapmotor and Twitter (PEV), with FAW-Volkswagen developing and selling new models in the domestic market based on Leapmotor's technical architecture.
In 2023, Stellantis invested 1.5 billion euros in Leapmotor to acquire about 20 percent of its shares, becoming the largest external shareholder of the Chinese EV maker. Leapmotor has entered 30 international markets through Stellantis' sales network and exported more than 20,000 vehicles in the first half of this year.
The first model developed by Leapmotor and FAW's Hongqi brand is in the development stage and is planned to be launched in the second half of next year using FAW's overseas channels. The location of Leapmotor's headquarters was not mentioned in the report, and the exact date of FAW's offer to acquire Leapmotor's shares was not specified in the report. The report does not specify the exact name of the local media outlet that reported the news.
Despite the lack of specific details, the collaboration between Leapmotor and FAW is expected to bring significant benefits to both companies, as they work together to develop and export EV models to overseas markets.
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