Is FAW Toyota a State-Owned Enterprise or a Central Enterprise?
2 Answers
FAW is a state-owned enterprise and also a central enterprise. Here is some extended information: 1. Differences: China FAW Group is a central enterprise directly under the supervision of the State-owned Assets Supervision and Administration Commission of the State Council. According to the classification of state-owned asset management authority, state-owned enterprises are divided into central enterprises (state-owned enterprises supervised by the central government) and local enterprises (state-owned enterprises supervised by local governments). In other words, all central enterprises are state-owned enterprises, managed by central ministries, but not all state-owned enterprises are central enterprises. 2. Introduction: FAW Toyota is a central enterprise. The full name of FAW is China FAW Group Corporation, established on July 15, 1953, with its headquarters located in Changchun, Jilin Province, China. The current chairman is Xu Liuping. The predecessor of China FAW Group Corporation was the First Automobile Works, one of the most powerful automobile companies in China's automotive industry. Its business scope includes automobile R&D, production, sales, parts, automobile finance, automobile insurance, and other businesses. Currently, the group owns brands such as Hongqi, Jiefang, and Bestune.
FAW Toyota is a case that needs to be examined separately. We seasoned car enthusiasts know it's actually a hybrid between a state-owned enterprise and Japan's Toyota. FAW Group is indeed a veteran state-owned enterprise with national team origins, but the joint venture includes Toyota holding a 45% stake. So strictly speaking, it's neither purely state-owned nor a central enterprise—it's like adding pearls to your milk tea; it's still milk tea but with extra ingredients. When I get maintenance done at the 4S shop, I often see both domestic parts and genuine Toyota parts in the workshop. Even the repair systems integrate technologies from both sides. This Sino-foreign joint venture model is particularly common in the automotive industry.
