Dongfeng Denies Merger with FAW

Dongfeng Motor Group Co. Chairman Zhu Yanfeng denies speculation that the company may merge with FAW Group Corp., China’s largest carmaker. Both companies are state-owned.

Rumors of a deal have been growing since the two manufacturers launched a strategy partnership in February to collaborate on technology. Zhu tells reporters the relationship is nothing more and that no talks are underway to the contrary, The Nikkei reports.

Dongfeng has partnered with six carmakers, including Honda, Nissan, Renault and PSA. FAW is China’s first carmaker and participates in joint ventures with Audi, General Motors, Mazda, Toyota and Volkswagen.