The China Association of Automobile Manufacturers said FAW and GAC’s strategic tie-up highlights practical obstacles to cross‑regional consolidation — notably transfer of capacity quotas, tax‑sharing arrangements and lengthy approval chains — which to some extent constrain industrial concentration and high‑end development. CAAM said it will act as a bridge between government and firms to collect integration difficulties and urged relevant parties to完善 supporting policies on capacity replacement,

2026-09-29

The China Association of Automobile Manufacturers said FAW and GAC’s strategic tie-up highlights practical obstacles to cross‑regional consolidation — notably transfer of capacity quotas, tax‑sharing arrangements and lengthy approval chains — which to some extent constrain industrial concentration and high‑end development. CAAM said it will act as a bridge between government and firms to collect integration difficulties and urged relevant parties to完善 supporting policies on capacity replacement, tax sharing, asset disposal and personnel placement to remove barriers to market‑based consolidation. It also called for stronger operational monitoring and industry self‑discipline, wider promotion of successful resource‑integration cases, and guidance for rational development, orderly competition and collaborative innovation to speed up high‑quality growth of China’s intelligent connected NEV sector and the push to become a world automotive power.