DONGFENG GROUP (00489) plans to establish a joint venture to develop and sell smart cars.

DONGFENG GROUP (00489) announced on September 17, 2025, that the company, Dongfeng Automobile Co., Ltd. (a jointly controlled entity of the company and considered a subsidiary), Xiangyang Holdings, and Xianggao Investment have entered into an investment agreement to jointly establish a joint venture company. The registered capital of the joint venture company is RMB 8.47 billion, with the company and Dongfeng Automobile Co., Ltd. contributing RMB 3.55 billion and RMB 0.92 billion respectively in the form of intangible asset rights and physical assets, accounting for approximately 41.9% and 10.9% of the registered capital of the joint venture company; Xiangyang Holdings and Xianggao Investment will contribute RMB 2.88 billion and RMB 1.12 billion respectively in cash, accounting for 34% and 13.2% of the registered capital of the joint venture company. The joint venture company is expected to be mainly engaged in the manufacturing and sales of intelligent off-road vehicles. The parties to the agreement plan to collaborate on the development and sale of intelligent vehicles. The establishment of the joint venture company will integrate the financial resources, research and development capabilities, and manufacturing capabilities of the parties in the production and sale of vehicles.