In the cruel year of 22, Lifan Automobile, a domestic automobile company that was once exported to Russia, finally failed to survive. In June this year, Chongqing Jiali Jianqiao Lighting Co., Ltd., the creditor of Lifan shares, applied to the court for restructuring Lifan shares on the grounds that Lifan shares could not pay off their debts due and obviously lacked solvency, but still had restructuring value.

What is the prospect of the integration of Lifan and Geely? Is the quality of Geely cars produced by Lifan guaranteed?

On November 6th, Lifan's stock manager signed an agreement with Liangjiang Fund, Geely Major and Geely Technology Group. Geely Major/Geely Science and Technology Group has established an absolute holding company with a shareholding ratio of over 7%, as the main body participating in enterprise restructuring investment. In other words, Lifan shares were acquired by Geely Technology Group, which is a subsidiary of Geely Holding Group. Geely Automobile will formally acquire and reorganize Lifan Automobile.

Geely Science and Technology Group mainly develops and produces Geely's brand-new electric MPV Maple Leaf, and Geely has completed Lifan. After the acquisition and reorganization, Lifan will produce pure electric MPV of Geely Maple Leaf. At this time, I believe many people will have a lot of worries, because the quality of new cars sold by Lifan in the domestic market is not as good as that of first-tier manufacturers such as Great Wall and Geely, so they can only maintain their own market by low prices, but it is obviously not feasible to cover up the quality problems by low prices. This has also become the core issue of Lifan's decline. So if Geely's cars are handed over to Lifan factory for production in the future, can the quality be guaranteed?

On the issue of automobile quality, we must first understand the relationship between Geely Automobile and Lifan Automobile. In fact, Geely Technology Group's acquisition of Lifan has little to do with Geely Automobile. Only Geely Technology Group, a subsidiary of Geely Automobile, participates in the holding, so the factories and channels of Geely's own cars will not change much. Specifically, Geely Automobile only participated in the integration of various resources of Lifan Automobile, especially the power exchange resources previously deployed in Chongqing. If Lifan's fast power exchange technology and resources are applied nationwide, Geely Automobile will be more smoothly promoted to new energy sources.

On the other hand, even if the pure MPV Maple Leaf 8V of Geely Technology Group is produced by Lifan Automobile, its parts procurement, supplier selection and later vehicle assembly will be controlled by Geely Technology Group. The quality control standard will definitely be much stricter than Lifan's original standard, so in terms of quality assurance, Geely's quality control will definitely not take the old road of Lifan.