Chang'an Automobile Co., Ltd.[2](CCAG) is a Chinese state-owned automobile manufacturer headquartered in Jiangbei, Chongqing.[3] Founded in 1862, it is China's oldest automobile maker.[4][5] It is currently the smallest of the "Big Four" state-owned car manufacturers of China, namely: SAIC Motor, FAW Group, Dongfeng Motor Corporation, and Changan Automobile, with car sales of 5.37 million, 3.50 million, 3.28 million and 2.30 million in 2021 respectively.[6]
The company produces and sells vehicles under its own branding, such as Changan, Deepal, Avatr, Oshan, Kaicene, as well as under foreign-branded joint ventures such as Changan-Ford and Changan-Mazda. In 2021, domestic branded cars took over 76% of sales (1.75m, 1.2m passenger vehicles).[7]
Its principal activity is the production of passenger cars, microvans, commercial vans and light trucks.[8]
It is China's second most popular car brand, with 1.4 million Changan cars sold in 2016.[9] A subsidiary of Changan, Chongqing Changan Automobile Company (SZSE: 000625), is listed on the Shenzhen Stock Exchange (but is also state controlled).[3]
History
Changan's early origins can be traced back to 1862 when Li Hongzhang set up a military supply factory, the Shanghai Foreign Gun Bureau.[10] It is China's oldest automobile maker.[5] In 1937, during the Second Sino-Japanese War, the factory was moved to Chongqing when Shanghai was invaded and bombed.[11]
In 1959 a predecessor entity, Chongqing Chang'an Arsenal, under contract to the government, began auto manufacturing and built Changjiang Type 46 vehicle which was the first production vehicle of China.[12] Changan introduced minicar by licensing from Suzuki.[13]
In 2009, Changan acquired two smaller domestic automakers, Hafei and Changhe.[14] In 2013, Changhe was transferred to Jiangxi provincial government for restructuring, and later became a majority-owned subsidiary of another Chinese automaker BAIC Group.[15]
As of 2010, China Weaponry Equipment is the parent company of this state-owned automaker,[16] and that year Chang'an became the fourth most-productive car manufacturer in the Chinese automobile industry by selling 2.38 million units.[17]
The company also released a new logo for its consumer offerings in 2010 while commercial production retains the former red-arch brand.[8]
Although it only allowed the company to achieve fourth place among domestic automakers in terms of production, Changan made over 2 million whole vehicles in 2011.[18]
In 2012, it was reported that 72% of production was dedicated to passenger vehicles,[19] but this count likely conflates private offerings and microvans, tiny commercial trucks and vans that are popular in China.
In November 2012, Changan Ford Mazda Automobile was divided into two new joint venture companies: Changan Ford and Changan Mazda.[20]
Changan plans to ending production of vehicles powered solely by internal-combustion engines by 2025, as the automaker will be selling only hybrid vehicles and all-electric vehicles from 2025 as a result due to the climate change, air pollution issues in the China and stringent emissions regulations. The company stated that this is because Government of China announced that it has passed legislation that will ban new ICE-powered vehicles by the mid-2030s, due to high air pollution and due to China's reiterated commitment in the United Nations Paris Agreement as the automaker wants remain compliant with the government's automotive emission standards. The automaker is joining Volvo Cars, Jaguar Land Rover, Hongqi, BYD Auto, Lotus Cars, and several other automakers in planning on ceasing production of ICE-powered vehicles in the coming years.[21]
In December 2023, Huawei announced it plans to move core technologies and resources in its smart car unit to a new joint venture with Changan. The new company will engage in research and development, production, sales and service of intelligent automotive systems and component solutions. Changan and its affiliates plan to acquire no more than 40 percent of the new company's equity, with the specific amount of capital contribution and term to be separately negotiated between the two parties.[22][23]
Brands and products
Changan produces and markets vehicles primarily under 5 brands:[24]
Changan Auto for SUVs and passenger cars
Changan Nevo (Qiyuan) for entry premium range extended electric vehicles.
Changan Nevo (长安启源) is the entry level EV line under the Changan brand, launched in 2023. Models initially include the A05 compact sedan, the A06 compact sedan, and the A07 midsize sedan. The A06 is a rebadged Changan UNI-V with restyled front and rear ends.[25] The A05 is a rebadged Changan Yida with restyled front and rear ends.[26]
Changan Nevo E07 (to commence), mid-size coupe SUV
Deepal (Chinese name Shenlan) is EV brand owned by Changan Automobile. The company was originally named Chongqing Changan New Energy Automobile Technology founded in 2018 and became an independent brand since 2023.
Avatr Technology is a premium EV brand Changan joint-ventured with battery provider CATL and multiple Chinese domestic foundations, technology supported by Huawei.[27]
Like most major Chinese automakers, Changan partners with Western and Japanese companies to produce and sell the products of these foreign firms in China. It also partners with other companies within China to augment manufacturer capacity and share development costs.
Changan currently participates in the following joint ventures:
Making Chinese-market versions of Ford consumer offerings,[8] its 2010 dealer network was thought to include many showrooms in second- and third-tier Chinese cities[citation needed] such as Chongqing.[32] So-called second- and third-tier cities are large and medium-sized cities not among the top four in terms of population and contribution to GDP.[33]
Jiangling Motor Holding Co. Ltd. (simplified Chinese: 江西江铃控股有限公司; traditional Chinese: 江西江鈴控股有限公司; pinyin: Jiāngxī Jiānglíng Kònggǔ Yǒuxiàn Gōngsī), also known by the initialism JMH, was a joint venture established in October 2004 and controlled equally by Changan and JMCG. To create Jiangling Motor Holding Changan invested money and in exchange JMCG transferred its Jiangling Motors Corporation (JMC) equity to the venture. Jiangling Motor Holding was the largest shareholder of JMC,[36] with a 41.03% stake as of March 2018.[37] JMH also owned the Landwind marque.[36][38]
In April 2019, it was announced that JMCG and Changan planned to split JMH into two separate companies: one keeping the same name and other tentatively called Jiangling Investment. Jiangling Investment would hold the 41.03% JMC stake and some liabilities and would still be equally owned by Changan and JMCG. The new JMH would own the rest of the former JMH assets (including Landwind)[39][40] and it would issue 100% more shares to be sold to investors, leaving JMCG and Changan with a 25% stake each.[40] Jiangling Investment was formally established in May 2019, completing the split of the former JMH.[41] In June 2019, it was announced that the investor for the new JMH was the car manufacturer Aiways. Aiways acquired a 50% of the new JMH with the aim of securing production permits for new energy vehicles.[42][43]
Oshan (Chinese: 欧尚) was a passenger car brand under Changan Automobile. It was originally known as the Changan Commercial Vehicles, the division which focus on micro vans and light trucks. The brand was renamed to Oshan in April 2017 and began to produce passenger vehicles since.
In 2024, Changan decided to cease the operation of Oshan brand and merge the product line and sales channel into Changan brand.[44]
Changan and the French car manufacturer PSA Peugeot Citroën agreed in 2010 to set up a 50/50 passenger car and light commercial vehicle-making joint venture.[45] Named CAPSA, it was the PSA Group's second joint venture company in China, after Dongfeng Peugeot-Citroën Automobile, and its first with Chang'an.[46] Centering on a newly built production base in Shenzhen, it was estimated that initial production capacity for the project will be 200,000 units/year.[47] Manufacturing commenced in 2014, with China specific Citroën DS models; the DS 5LS first and then the DS 6WR.[48] The venture was dissolved in 2020.
In parallel with its Suzuki joint venture, Changan also continued to build small trucks and vans for commercial use based on the 1999 Suzuki Carry license, but independently developed vehicles are quickly replacing them.[50] These small cars carry the Changan brand name although Suzuki technology is used in their design and manufacture.
On 4 September 2018, Suzuki transferred its 50 percent stake in Changan Suzuki to Chang'an Automobile Group, ending 25 years of joint venture. Under the plan, Chang'an would continue to make and sell Suzuki-branded cars in China under license.
In 2021, Changan Suzuki was renamed to Chongqing Lingyao Automobile.[51]
A planned 300,000 units/year capacity mini-vehicle production base in Hefei, Anhui province, should see completion in 2011.[citation needed] Production capacity figures may consider engines and vehicles as discrete.
Chang'an has numerous sites in the city of Chongqing. A Chang'an-Ford plant and another, planned Chang'an-Ford plant (which may produce engines[54]) are joined by a Chongqing-based R&D center[53] and an industrial park in Yubei, Chongqing.[citation needed]
A planned Chang'an commercial vehicle production base in Nanchang, capital of Jiangxi province, will produce JMC and Ford-branded vehicles[54] and join an R&D center[53] as a second facility in this province. The latter facility may be a former Changhe asset.
Shanghai
Chang'an has an R&D center in this coastal city.[53]
International
The company maintains four factories in international markets and several overseas R&D centers.
Chang'an had an assembly plant in Poteau, Oklahoma, piecing together products sold under the Tiger Truck brand from 2007 to 2010.[55] The Changan CS35 is built in Lipetsk region of Russia since 2016.[56] Also Changan vans and pickup trucks were assembled at Ganja Auto Plant in Ganja city, Azerbaijan in 2005.
Pakistan
Changan has built a production facility in Karachi, Pakistan. It is a joint venture with Master Motors with an investment of US$100 million. This plant makes right hand drive passenger vehicles for Pakistan as well other right hand drive markets. The first "Made in Pakistan" unit of Changan rolled out on 2 May 2019. With a manufacturing capacity of 30,000 cars per year, this facility is Changan's first to produce right hand drive cars.[57]
R&D centers
Chang'an has over 7,000 engineers and researcher working in R&D facilities in Chongqing, Beijing, Shanghai and Harbin,[10]Turin, Italy,[53] and Yokohama, Japan.[53] It set up two more in 2011. These are located in Birmingham (originally was set up in Nottingham), United Kingdom, and Detroit, United States.[58] The Detroit center opened in early 2011, and its office was moved to Plymouth 2015.[59][60]
^2011年前十家乘用车生产企业销量排名. China Association of Automobile Manufacturers (CAAM). 2012-01-20. Archived from the original on 2012-08-20.
^"2012年12月分车型前十家生产企业销量排名". China Association of Automobile Manufacturers (CAAM). 14 January 2013. Archived from the original on January 15, 2013. Retrieved January 15, 2013.
^"Landwind". JMCG. Archived from the original on 17 December 2019. Retrieved 1 February 2019.
^Hu, Xinyu (3 April 2019). 江铃汽车控股股东拟变更为江铃投资 [Jiangling Motors' controlling shareholder is planned to be changed to Jiangling Investment]. jrj.com.cn (in Chinese). Archived from the original on 3 April 2019. Retrieved 3 April 2019.
^ abLiu, Yang; Zhen, Zhenyu (3 April 2019). 长安汽车拟为江铃控股引入战略投资者 [Changan Automobile intends to introduce strategic investors for Jiangling Holding]. finance.sina.cn (in Chinese). Retrieved 3 April 2019.
^Jian, Jianru (30 May 2019). Zhang, Bei (ed.). 江铃汽车和长安汽车共同成立投资公司 注册资本10亿元 [Jiangling Group and Changan Automobile jointly established an investment company with a registered capital of 1 billion yuan]. nbd.com.cn (in Chinese). Retrieved 7 June 2019.
^Li, Xing (5 June 2019). 爱驰汽车购入江铃控股50%股权 首款量产车已开始生产 [Aiways acquired a 50% equity in Jiangling Holdings. The first production car has started production]. finance.sina.cn (in Chinese). Retrieved 7 June 2019.
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