Accordingto DFM’s latest sales volume bulletin: In 2017, sales volume of Dongfeng newenergy vehicles was 54,000 vehicles, with year-on-year growth at 117.6%, farhigher than average industry growth rate. Sales volume of new energy passengervehicle was up to 16,000 vehicles, with year-on-year growth at 114.1%; salesvolume of new energy commercial vehicle was up to 39,000 vehicles, with year-on-yeargrowth at 120%, ranking first in Chinese new energy commercial vehicleindustry; small lot of FCV trucks have been launched.

Inrecent years, DFM has upgraded the new energy vehicles into the core strategy,and focused on boosting the development of passenger vehicles and commercialvehicles. Currently, DFM has formed the pattern of full range of new energyproducts focusing on three technical routes (BEV, PHEV and FCV), includingvarious BEV passenger vehicles, BEV light-duty trucks, HEV buses, FCVspecial-purpose vehicles, BEV cargo van, etc.; Moreover, market shares of newenergy special-purpose vehicles were up to 50% that of national like vehiclemodels. DFM’s subsidiaries such as Dongfeng Passenger Vehicle Company, DongfengAutomobile, Dongfeng Xiaokang, etc. have realized the mixed production of newenergy vehicle and traditional vehicle. Moreover, DFM has built 2 new energypassenger vehicle bases (Wuhan and Guangzhou), 2 new energy bus bases (Shiyanand Xiangyang), 2 new energy special-purpose vehicle bases (Xiangyang andZhengzhou) and 2 new energy key parts bases (Wuhan and Xiangyang), formingannual production capacity of 220,000 vehicles.

Besidesthe technical breakthrough, Dongfeng also accelerated innovation of new energybusiness mode in recent years. With the development philosophy of “Green &Sharing”, DFM has built 2 new energy vehicles time-sharing leasing platforms:“EV SHARING” and “Dongfeng Travel”, realizing scale operation of new energytaxi, special-purpose vehicle, online car-hailing service, commuter, etc.According to the introduction, existing registered users in the “EV SHARING”exceed 10,000, covering Wuhan’s Wuchang, Hankou and Hanyang towns, with eachmonth having at least 3,000 orders. In the future, “EV SHARING” will be createdinto a service provider and operator of urban sharing vehicles. “DongfengTravel” is to create Dongfeng’s free travel service brand based on promotionand application of Dongfeng’s new energy vehicles. Moreover, new energy vehiclebusiness of Dongfeng Automobile Company Ltd. and Dongfeng Special Vehiclepositively innovates its business mode, and expands new growth points frommanufacturing sector to auto aftermarket.

Currently,DFM has basically formed the layout in such sectors as cell, motor andelectronic and electric control. Industrialized projects of electronic andelectric control, cell grouping and drive motor of new energy passengervehicles have been implemented in 2017, and are about to be constructed. In thefuture, DFM will focus on the new energy vehicles to develop the vehicles basedon such energies as natural gas, ethanol, methanol, etc., for the purpose ofseizing the technical commanding height of new energy vehicles.