FAW Jiefang secures ¥13.6bn loan, changes auditor

FAW Jiefang Group Co., Ltd. will receive an entrusted loan of ¥13,600 million from its indirect controlling shareholder, China FAW Group Co., Ltd., to utilize state-owned capital operating budget funds. This related party transaction, facilitated through FAW Finance Co., Ltd., aims to enhance the company's operational efficiency and overall competitiveness. The loan's interest rate will be based on the People's Bank of China's demand deposit benchmark rate, adjusted annually, with the term spanning from October 9, 2025, to October 8, 2035.

Concurrently, FAW Jiefang Group plans to appoint ShineWing Certified Public Accountants (Special General Partnership) as its financial and internal control auditor for 2025, replacing Grandway Certified Public Accountants (Special General Partnership), which has served for eight consecutive years. The change is intended to ensure greater independence and objectivity in auditing, with projected audit fees not exceeding ¥143.6 million. Both matters were approved by the board of directors and its audit and risk control committee, with related parties abstaining from voting on the loan.