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Shell launches into Strategic Cooperation with Faw Jie Fang

Zibo, Shandong - Shell today entered a strategic cooperation with FAW Jie Fang Truck Co. Ltd, China’s largest manufacturer of heavy duty trucks. The new agreement deepens Shell’s relationship with FAW, having been its premium lubricants supplier for first-fill and service-fill oils for many years. Shell and FAW also recently successfully trialled 100,000km long oil drain intervals for the entire powertrain system, including engine, transmission and axle via rigorous bench tests of over10,000 hours and 1.5 million km of road trials, a first in China.

The strategic cooperation between these two companies spans a broad range of areas, including sales, marketing, brand and technology. In the new programme titled “万 里 无 忧” (Worry-free Miles), Shell and FAW will jointly develop of a new range of lubricants for engines, transmissions and axles, with the aim of achieving even longer oil drain intervals, increasing fuel efficiency and reducing emissions. These new products will be co-branded, bringing together Shell’s reputation as a leading lubricants manufacturer and supplier and FAW’s reputation as the leading producer of heavy duty vehicles in China.

“We are very pleased to enhance our technical and commercial cooperation with FAW. It brings together two industry-leading companies and brands, working together to provide new products and services to help give customers piece of mind on the quality and longevity of their equipment,” said James Shen, General Manager of Shell Lubricants in Greater China.

In addition, Shell and FAW will also collaborate to strengthen after-sales services with Shell providing technical training to FAW service staff and by conducting joint market research on customer needs. This will help provide more value for customers, reducing maintenance costs and maximising operations, as well as improved after-sales customer service.

Shell and FAW Jie Fang representatives at official signing ceremony
FAW Jie Fang’s latest model, the  JH6 heavy-duty truck, was used in the 100,000km long oil drain trial in cooperation with Shell.

Enquiries:

Shell Lubricants Global: Mary B. Walsh, +32478402934, mary.walsh@shell.com

Notes to Editors

  • Shell is the leading international oil company marketing lubricants in China. China is the growth engine for the lubricants sector globally. China is the second largest country market, accounting for 19% of global and 44% of Asia-Pacific lubricant demand in 2014. (Kline and Company, 2015)
  • Shell has made multi-million dollar investments in its Lubricants supply chain in Asia, particularly in China.
  • Shell Lubricants has a network of, 5 lubricant blending plants, 1 grease manufacturing plant and 1 gas-to-liquid (GTL) base oil storage hub (Hong Kong) in Greater China.
  • In 2015, Shell opened its China commercial centre in Shanghai, which sees the majority of its downstream businesses move to the country’s commercial hub. Also located within the Centre is Shell Shanghai University, Shell’s first training centre for Chinese distributors.
  • In 2014, Shell opened its third global technology centre, dedicated to research and development into lubricants and oils in Shanghai. The centre focuses on lubricant product development and application for China and the wider Asia region covering countries such as India, Indonesia, South Korea, Thailand and Vietnam.

About Shell Lubricants

The term “Shell Lubricants” collectively refers to Shell Group companies engaged in the lubricants business. Shell sells a wide variety of lubricants to meet customer needs across a range of applications. These include consumer motoring, heavy-duty transport, mining, power generation and general engineering. Shell’s portfolio of lubricant brands includes Pennzoil, Quaker State, Shell Helix, Shell Rotella, Shell Tellus and Shell Rimula. We are active across the full lubricant supply chain.

We manufacture base oils in seven plants; blend base oils with additives to make lubricants in over 40 plants; distribute, market and sell lubricants in over 100 countries. We also provide technical and business support to customers. We offer lubricant-related services in addition to our product range.

These include: Shell LubeMatch –the market leading product on-line recommendation tool, Shell LubeAdvisor - helps customers to select the right lubricant through highly trained Shell technical staff as well as online tools, and Shell LubeAnalyst - an early warning system that enables customers to monitor the condition of their equipment and lubricant, helping to save money on maintenance and avoid potential lost business through equipment failure.

Shell’s world-class technology works to deliver value to our customers. Innovation, product application and technical collaboration are at the heart of Shell lubricants. We have leading lubricants research centres in China, Germany, Japan (in a joint venture with Showa Shell), and the USA. We invest significantly in technology and work closely with our customers to develop innovative lubricants.

We have a patent portfolio with 150 + patent series for lubricants, base oils and greases; more than 200 scientists and lubricants engineers dedicated to lubricants research and development. Customer benefits include lower maintenance costs, longer equipment life and reduced energy consumption.

One of the ways we push the boundaries of lubricant technology is by working closely with top motor racing teams such as Scuderia Ferrari and BMW Motorsport. These technical partnerships enable us to expand our knowledge of lubrication science and transfer cutting-edge technology from the racetrack to our commercial products.

Royal Dutch Shell plc

Royal Dutch Shell plc is incorporated in England and Wales, has its headquarters in The Hague and is listed on the London, Amsterdam, and New York stock exchanges. Shell companies have operations in more than 70 countries and territories with businesses including oil and gas exploration and production; production and marketing of liquefied natural gas and gas to liquids; manufacturing, marketing and shipping of oil products and chemicals and renewable energy projects. For further information, visit www.shell.com

Cautionary Note

The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate legal entities. In this press release “Shell”, “Shell group” and “Royal Dutch Shell” are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to subsidiaries in general or to those who work for them. These expressions are also used where no useful purpose is served by identifying the particular company or companies. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell companies” as used in this press release refer to companies over which Royal Dutch Shell plc either directly or indirectly has control. Entities and unincorporated arrangements over which Shell has joint control are generally referred to “joint ventures” and “joint operations” respectively. Entities over which Shell has significant influence but neither control nor joint control are referred to as “associates”. The term “Shell interest” is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in a venture, partnership or company, after exclusion of all third-party interest.

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