Comparedwith pure electric driving more suitable for small size vehicles,HEV/PHEV is a better solution to improve fuel economy for large-size vehicles.In this paper,the development of a new generation plug-in hybrid system for FAW C-class vehicle is described.The plug-in hybrid system is based on P2 configuration,which is characterized by one traction motor and a separating clutch.The objective of the hybrid system development is to achieve the best possible fuel consumption by a highly efficient powertrain and a hybrid control system.The corecomponents in the hybrid system include a high-efficiency 4-cylinder GDI(Gasoline Direct Injection)engine,CCM(Clutch Coupling with Motor)module,7-speed DCT(Dual Clutch Transmission),Li-ion high-voltage battery,DC/DC converter,electric oil pump,on-board charger and so on.The CCM module which integrates traction motor and separating clutch is the most impor-tant component in this hybrid system.The separating clutch can decouple the combustion engine during pure electric driving and also can offer the option to start-up the combustion engine by engaging the clutch.In order to achieve the vehicle performance target,a hybrid control system was developed.The control technology developed facili-tates hybrid functions such as e-driving,start-stop,recuperation,boost and so on.A challenging problem of the hybrid control system is engine start control.Therefore a DCT clutch slip control function was designed to prevent engine start torque variation transmitting to the drive wheels.Meanwhile a start torque calculation function was designed to accurately estimate the starting torque which includes the driver desiring torque,the engine start torque and the compensation torque.The hybrid control system which controls the traction motor,the separating clutch,the DCT clutch and the combustion engine at the same time achieves smooth vehicle acceleration during engine start while the vehicle is running.Equipped withthe new generation plug-in hybrid system,the best-in-class fuel economy and excellent pure electric driving charac-teristics was achieved by the FAW C-class vehicle.As a result,the super low value of fuel consumption was 2.3 L/100km,at the same time,the 52 km of pure electric driving range was reached by the luxury C-class vehicle.