Geely founder resigns, Gan named CEO

Geely Automobile has appointed Gan Jiayue as chief executive officer as part of a leadership overhaul that also sees founder Li Shufu step down as chairman and executive director.

The changes took effect on 18 August as the Chinese automaker put its long-term succession plan into action.

An Conghui, a Geely executive since 1996, succeeded Li as chairman. He has held several senior posts across the group and previously led Zeekr, Geely’s premium electric vehicle brand.

Gan replaced Gui Shengyue, who relinquished the CEO post to become vice chairman. Gui remains an executive director, while former vice chairman Li Donghui continues to serve on the board as an executive director.

Geely said Gan’s management experience and knowledge of the automotive industry would support the company’s operations and long-term plans.

Li Shufu founded Geely in 1986 in Taizhou, Zhejiang province. The business began as a maker of refrigerator parts before entering motorcycle and automobile production.

The company later grew into one of China’s largest privately owned automotive groups, with brands and investments that include Volvo Cars, Polestar, Lotus, Zeekr and Lynk & Co.

Li was named honorary chairman for life in recognition of his contribution to Geely Automobile. The title carries no formal authority within the company’s governance structure.

He remains Geely Automobile’s controlling shareholder and chairman of parent company Zhejiang Geely Holding Group. This will keep him involved in the wider automotive business even after leaving his posts at the listed unit.

Geely said Li stepped down to devote more time to his other business commitments and support the company’s succession plan. He also confirmed that he had no disagreement with the board.

The leadership change comes as Geely increases its overseas presence and faces strong competition in China’s new-energy vehicle market.

An said the company wants two-thirds of its sales to come from markets outside China over the long term. Gan also outlined a target of 600,000 annual vehicle sales in Europe within two to three years.

Geely reached an agreement with Ford in July to produce electric SUVs at the American automaker’s plant in Spain and develop another vehicle for Europe. Volvo’s European factories are also expected to manufacture selected luxury models for other Geely-owned brands.

The group plans to rely on partnerships and existing factories as it expands instead of building new production capacity in every overseas market.