Is FAW-Volkswagen a State-Owned Enterprise or a Central Enterprise?

[LaJessica]

FAW-Volkswagen is both a state-owned enterprise and a central enterprise. 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, there is an essential difference between central enterprises and state-owned enterprises. Central enterprises must be state-owned enterprises, managed by central ministries and commissions, but state-owned enterprises are not necessarily central enterprises. The full name of FAW is China FAW Group Corporation Limited, formerly known as First Automobile Works, inscribed by Chairman Mao Zedong and founded on July 15, 1953. FAW is headquartered in Changchun, Jilin Province, and is one of the most powerful automobile companies in China's automotive industry. It owns automotive brands such as Hongqi passenger cars, Bestune passenger cars, and Jiefang commercial vehicles. After more than 60 years of development, China FAW has become a large state-owned automobile enterprise group with an annual production and sales volume of 3 million vehicles, and its total production and sales volume has always been in the first echelon of the industry.