StoryPartnership
Toyota, FAW and GAC sign framework for GAC to take FAW's 50% stake in FAW Toyota
Toyota, China FAW and GAC signed a framework agreement in Guangzhou on October 8, 2026. GAC will take over FAW's 50% stake in the FAW Toyota joint venture by issuing its own shares, and FAW becomes a key shareholder of GAC. The three companies also plan a wider alliance between FAW Toyota and GAC Toyota, starting later, covering research, purchasing, production and sales.
- FAW Toyota stays independent after the transaction; the release gives no closing date and names no approvals.
- The alliance would focus on accelerating electrification and intelligence at both joint ventures.
- The deal responds to slower market growth, overcapacity and competition from Chinese electric-car makers.
- FAW Toyota dates to a 2002 partnership with FAW; GAC Toyota was formed with GAC in 2004.