DONGFENG GROUP(HK:00489) Di Yi Cai Jing·2025-08-18 15:24Group 1 - The core viewpoint of the article highlights the challenges faced by Japanese automakers, particularly in the context of the rising penetration rate of electric vehicles (EVs) in China, which is approaching 50% [2] - Dongfeng Motor Group plans to sell its entire 50% stake in Dongfeng Honda Engine Co., Ltd. as part of a strategy to optimize its fuel vehicle asset structure and accelerate its transition to new energy [2][3] - Dongfeng Honda Engine, established in 1998, reported a revenue of approximately 3.8 billion yuan in the first half of the year, a 60% year-on-year decline, but turned a profit with a net income of about 371 million yuan [2] Group 2 - Honda's two major joint venture partners in China, Dongfeng Group and GAC Group, are increasingly investing in their own new energy brands, with Honda planning to cease production of two fuel vehicle production lines in 2024 [4] - Honda's automotive production capacity in China has been reduced to 1.44 million units following these adjustments, in response to the rapid development of the Chinese EV market and strong competition from domestic brands [4] - Honda's sales in China have declined for five consecutive years, with a drop to 360,000 units in the first seven months of this year, down 23% from 468,500 units in the same period last year [4]