Jul. 27, 2023
In the first half of this year, Faw achieved a remarkable 57.9% year-on-year growth, exporting over 40,000 units overseas. With the halfway mark surpassed, Faw is on track to achieve the annual export target of 60,000 units.
Over the past three years, Faw's overseas business has undergone significant expansion, now constituting 25% of the total sales, compared to the previous 10%. The overseas market, once considered an embellishment, has now evolved into a sturdy foundation for Faw's growth.
Liberation Heavy-Duty Trucks Delivering Overseas
In the first half of this year, Faw exported over 40,000 units, marking an impressive year-on-year growth of 57.9%. The engine division played a pivotal role, contributing over 18,600 units to the exports, showing a remarkable 175% increase compared to the previous year. Additionally, non-road products witnessed export figures of over 21,000 units, representing a healthy 20% growth.
The first major overseas market experienced a staggering growth rate over 100%, while the second-largest market, South Africa, exported nearly 3,000 units. The Philippine market also experienced a breakthrough, surpassing 2,000 units, more than doubling its growth from the previous year.
Faw in the Mexican Market
Beyond the numerical increase, what truly deserves attention is Faw's bolstered brand strength overseas. Fueled by positive reputation, the company has achieved substantial and high-quality growth, establishing a solid foundation for its entry into a new phase of global expansion.
In the first half of this year, Faw primarily focused on exporting high-horsepower products with engine capacities above 11 liters, which constituted an impressive 95% of the total sales. This success can largely be attributed to the rise of Liberation J7, the high-end tractor that gained popularity in the last four months, achieving nearly 5,000 units in sales since February, sparking a sales frenzy. Liberation J7 has become a preferred alternative to brands like Mercedes-Benz and Volvo, earning widespread recognition from users. For engine manufacturers, high-horsepower tractors represent not only a battlefield for sales competition but also a stage to showcase technical prowess. Faw's achievements in this market indicate that we have taken a leading position in cutting-edge industry technology.
The Philippines is another major market where Faw achieved remarkable breakthroughs this year, with sales exceeding 2,000 units in the first half, more than doubling the growth from the previous year. In the competitive Philippine market, which features Japanese, European, and American car companies, gaining market share requires close competition with international brands. Faw's winning strategy lies in maximizing the "fuel-saving" advantage and introducing the latest products that suit the Philippine working conditions. Compared to similar competitors, their light-duty machines consume 2% less fuel, and the heavy-duty machines consume 1% less, resulting in yearly fuel savings equivalent to hiring a local driver's salary.
Faw is creating a positive feedback loop overseas, where products bring genuine value to customers, leading to the development of a favorable reputation.
In addition to focusing on products, Faw has accelerated our efforts to expand overseas network, aiming to provide even more comprehensive services for customers.
Faw Staff Serving African Customers
An outstanding example is the strengthening of human resources website, service network, and spare parts distribution network. With the pandemic gradually easing, transportation of personnel between domestic and overseas markets has become smoother, facilitating the further expansion of Faw's overseas sales network. This year, the company has already completed two large-scale recruitment drives. Faw's overseas presence has become more comprehensive, with a focus on strengthening key markets and quickly expanding into newly entered markets. Regarding service network development, Faw has been establishing over ten regional service centers at the national level each year, as well as several secondary networks, in sync with the export of complete vehicles by us. Simultaneously, we are also making progress in building more spare parts warehouses and conducting maintenance training.
Through these strategic measures, Faw's approach is crystal clear: not only must we enter foreign markets swiftly, but also firmly establish us presence.
Faw Providing Training for Middle Eastern Customers
In the last two years, competition in the domestic commercial vehicle market has intensified, and the market's prosperity is now facing an extended period of slow recovery. Consequently, the importance of overseas markets will continue to rise. While Faw's large-scale overseas layout may not have started early among major domestic commercial vehicle manufacturers and component enterprises, the achievements in the last two years have undoubtedly been impressive.
According to reports, by 2027, the overseas sales are projected to surpass 100,000 units, and by 2030, this number could reach 200,000 units, with exports accounting for 40% of the total diesel engine sales. With the ongoing deepening of overseas expansion, the brand will inevitably resonate even louder, offering more efficient power solutions to global users.
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Add.: 98# Yongle East Road, Wuxi, Jiangsu, China.