FAW Overtakes DJI as Top Shareholder in Smart Driving Supplier ZYT
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ZYT began as DJI’s internal automotive unit in 2016 and was spun off as an independent firm in 2023
China FAW Group Corp. Ltd., a major state-owned automaker, is set to become the largest shareholder in ZYT, an assisted-driving technology company spun off from drone giant DJI Technology Co. Ltd., as part of a strategic push into smart vehicle systems.
According to a regulatory filing made public Sept. 22 by the State Administration for Market Regulation, FAW plans to acquire a 35.8% stake in ZYT through a combination of capital injection and share purchase from the company’s current majority shareholder, New Territory, an entity representing DJI. Upon completion, FAW’s stake will exceed that of New Territory, whose holdings will fall to 34.9%, making FAW the largest shareholder and giving it a leading voice in strategic decisions.
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- FAW Group will acquire a 35.8% stake in ZYT, becoming its largest shareholder, with New Territory (DJI) reducing its holding to 34.9%.
- The transaction, valuing Z-ONE Tech (ZYT) at around 10 billion yuan ($1.4 billion), strengthens FAW’s smart vehicle technology portfolio.
- ZYT, spun off from DJI in 2023, supplies assisted-driving systems to automakers like Volkswagen, BYD, and Chery, and will retain operational independence.
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Who’s Who
- China FAW Group Corp. Ltd.
- China FAW Group Corp. Ltd. (中國一汽) is a state-owned automaker. It will become the largest shareholder in ZYT, an assisted-driving technology company, by acquiring a 35.8% stake. This move enhances FAW's control over smart vehicle technologies, integrating ZYT's systems into its Hongqi-brand vehicles, like the TianGong 08 model.
- ZYT
- ZYT (卓驭科技) is an assisted-driving technology company that was originally DJI's in-house automotive unit before being spun out in 2023. It develops and supplies driving-assistance systems to major automakers. China FAW Group is set to become its largest shareholder, acquiring a 35.8% stake. ZYT also has investment from other automakers like BYD and SAIC.
- DJI Technology Co. Ltd.
- DJI Technology Co. Ltd. (大疆创新科技有限公司) is a drone giant. Its in-house automotive unit, ZYT (Z-ONE Tech), was spun off in 2023. DJI's entity, New Territory, is the current majority shareholder of ZYT.
- SAIC-GM-Wuling Automobile Co.Ltd.
- SAIC-GM-Wuling Automobile Co. Ltd. (上汽通用五菱汽车股份有限公司) is one of the major automakers to which ZYT supplies driving-assistance systems. They are also a major client of ZYT.
- BYD Co.Ltd.
- BYD Co.Ltd. is a major automaker that receives driving-assistance systems from ZYT. It also holds approximately a 5.2% stake in ZYT through a subsidiary, making it one of several automakers that have invested in the assisted-driving technology company.
- Chery Automobile Co.Ltd.
- Chery Automobile Co. Ltd. is one of the major automakers that ZYT supplies driving-assistance systems to. This indicates that Chery utilizes ZYT's technology in its vehicles. The article does not provide further details about Chery Automobile Co. Ltd. beyond this supplier relationship.
- SAIC Motor Corp.Ltd.
- SAIC Motor Corp. Ltd. holds an indirect stake of approximately 2.5% in ZYT, an assisted-driving technology company. SAIC also operates as a major client of ZYT, utilizing its driving-assistance systems alongside other prominent automakers.
- XCMG Group
- XCMG Group is mentioned as one of the companies planning to participate in the strategic investment round for ZYT. This suggests XCMG Group is interested in ZYT's assisted-driving technology, aligning with a broader trend of automakers and related industries investing in autonomous driving capabilities.
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What Happened When
- 2016：
- ZYT began as DJI’s in-house automotive unit.
- 2023：
- ZYT was spun out from DJI.
- April 2024：
- FAW’s partnership with ZYT began.
- January 2025：
- TianGong 08 model, integrating ZYT’s technology, was launched by FAW's Hongqi brand.
- May 2025：
- Rumors surfaced that FAW disbanded its own autonomous driving research institute in Nanjing.
- 2025：
- Other companies, including XCMG Group, plan to participate in the ZYT strategic investment round.
- As of 2025：
- Z-ONE Tech (ZYT) is valued at roughly 10 billion yuan ($1.4 billion).
- Sept. 22, 2025：
- Regulatory filing made public by the State Administration for Market Regulation about FAW's plan to acquire 35.8% stake in ZYT.
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