Weichai Power to update governance and transaction policies

Weichai Power Co., Ltd. announced an Extraordinary General Meeting (EGM) on October 31, 2025, to approve proposed amendments to its corporate governance policies. These include the Decision Making Rules on Connected Transactions, the Management Measures on the Use of Proceeds, and the Decision Making Rules on Investments and Operations, aiming to align with updated PRC laws and regulations and optimize governance. The company will also seek approval for new framework agreements and revised annual caps for continuing connected transactions with Weichai Holdings, Weichai Freshen Air, and Weichai New Energy for the years ending December 31, 2025, 2026, 2027, and 2028.

Key proposed changes to transaction caps include: Weichai Holdings (sales) with a new cap of RMB12bn for 2025, rising to RMB17.135bn by 2027; Weichai Holdings (purchases) with a new cap of RMB8bn for 2025, rising to RMB10bn by 2027. Weichai Freshen Air (sales) is set to reach RMB800m by 2028, and purchases RMB4.5bn by 2028. Weichai New Energy (sales) is projected to reach RMB700m by 2027, and purchases RMB10bn by 2027. These revisions reflect anticipated market recovery, increased demand for new energy products, and the company's strategic sales plans. Weichai Holdings will abstain from voting on resolutions related to non-exempt and PRC continuing connected transactions due to its substantial shareholding.