FAW to purchase new shares in Changan-Mazda joint venture in China

China FAW Corporation Limited (FAW) will purchase new shares in Changan Mazda Automobile (CMA), a joint venture between Mazda and Chongqing Changan Automobile (CA) in China. 

Upon completion of examination procedures from the Chinese government, CMA will become a new joint venture company, whose shareholders will be Mazda, CA, and FAW.

Mazda and CA will each own 47.5 percent of shares, while FAW will own five percent. The new CMA will continue to be responsible for the operations of the former CMA and other Mazda-related business. 

With the change in the investment structure, the three companies aim to make their business adapt to the needs of the expanding Chinese market.

Changan passenger vehicles reached a sales volume of 103,894 units in China early this year. 

FAW is a Chinese state-owned automotive manufacturing company, whose products include automobiles, buses, light, medium, and heavy-duty trucks, and auto parts.

Photos from Changan, Mazda

Also read:

Changan leads 2021 charge in China auto sales

The Mazda MX-30 EV crosses over to California