Changan Accelerates EV Push with Two-Pronged Approach

In a rapidly evolving automotive industry, Changan Automobile is making significant strides in the electric vehicle (EV) sector. The company, having successfully launched renowned EV brands such as Deep Blue and Avita, continues to escalate its efforts in the new energy arena. Rather than resting on these early successes, Changan is doubling down on investments to deepen and broaden their presence in this vital segment of the market.

Recently, Changan introduced the QiYuan E07, a vehicle that artfully targets the mid-to-large high-end intelligent electric SUV market. This model exhibits impressive adaptability and versatility within its powertrain offerings. It provides a pure electric driving mode, appealing to consumers desiring zero emissions and a silent driving experience, while also featuring a range-extended power option to effectively alleviate consumer concerns regarding driving range. Additionally, it offers both two-wheel and four-wheel drive options, catering to diverse driving scenarios. Notably, the E07 claims remarkable range capabilities with four distinct levels, spanning from 550 to 1000 kilometers, which ensures reliability whether in daily urban commutes or extended journeys. One of its standout features—the vehicle's ability to switch seamlessly between SUV and pickup configurations—sets it apart from traditional EVs. This innovative design enhances space utilization and offers users unprecedented versatility, meeting a variety of practical needs across different contexts. Such thinking positions the E07 as a trailblazer among the current generation of electric vehicles.

In the joint venture sector, Changan Mazda is also plunging into the EV wave, unveiling its first electric car, the MAZDA EZ-6. This model capitalizes on Changan's robust framework for electrification and smart technology, drawing heavily on the company's substantial experience in new energy technology research and application. Concurrently, Mazda infuses its unique brand identity with advantages in design, handling, and safety. The synergy forged between these two automotive giants culminates in a product that is poised to wield considerable market competitiveness. Set for an official rollout in 2024, the MAZDA EZ-6 is anticipated to ignite excitement within the EV marketplace, attracting consumers' attention and favor.

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Akira Marumoto, Mazda's Chairman and CEO, firmly asserts that in response to the global automotive industry's web of electric and intelligent transformations, Mazda and Changan will uphold a strategy of deepened cooperation. This commitment seeks to maximize each party's advantages, drilling down into Joint Venture 2.0. Their collective vision aims to produce more innovative and adaptable EV offerings ready to face stiff market challenges and secure a solid foothold within the electrifying landscape.

As of now, Changan Automobile's achievements in positioning various EV brands are distinctly remarkable. In addition to its early ventures with the distinctive Deep Blue and Avita brands, Changan has proactively expanded its own range of electric products, adding the QiYuan series to its portfolio. In the collaborative domain, Changan Ford is intensifying its efforts by launching hybrid variants of the Edge L and the Escape. These vehicles benefit from the synergies shared between Changan and Ford in technology research and development, manufacturing, and market promotion, garnering notable attention and recognition, notably enhancing Changan's overall strategy in the electric vehicle sphere.

However, despite not being a late entrant in the EV domain, Changan's sales growth in this segment has been relatively gradual over the past couple of years. When comparing overall sales, there remains a noticeable gap with quicker-transitioning domestic players like BYD and Geely. Nonetheless, Changan does not view this as a setback; rather, it positions itself as an enthusiastic participant seeking breakthroughs. On April 1, Changan revealed its sales figures for the first quarter of this year, with the brand's own EV sales reaching 52,900 units in March—a remarkable increase of over 47% year-on-year—which paints a positive picture for Changan's sales momentum. The cumulative sales for the entire quarter hit 128,800 units, surpassing last year's figures by more than 52%. This impressive performance is a significant boost for Changan, indicating that its strategies and competitive products' strengths are beginning to manifest effectively in the marketplace.

In a concerted effort to further amplify electric vehicle sales, Changan is vigorously advancing a multi-brand, multi-technology strategic layout. The company is curating a diversified approach in the realm of new energy technologies, investing in pure electric, plug-in hybrid, range-extended hybrid, and hydrogen fuel cell innovations. Moreover, through its collaboration with Ford, a new entity known as Changan Ford New Energy Technology Co., Ltd. has been established. This joint venture will further Changan's efforts in technological exports related to electrification and intelligent technology, supporting Ford's transition into the electric vehicle marketplace. Additionally, Mazda has pledged to continue its deep collaboration with Changan and plans to introduce four new energy vehicles. Such strategic partnerships underscore Changan's unwavering vision and commitment to establishing itself as a formidable competitor within the new energy sector.

According to Changan's long-term ambition, the company aims to consistently evolve its technology through iterative upgrades, alongside innovative breakthroughs in vehicle design and manufacturing and battery systems. By 2025, Changan strives to have the consumer value index (CVI) for its EV offerings reach 95 and 40 in their respective categories, with intentions of increasing this index by 5% - 10% every two years thereafter. These targets not only reflect Changan's confidence in its technology R&D and product innovation capabilities, but also signal a firm determination to provide consumers with vehicles of higher quality and greater value in the new energy landscape.

In a candid interview, Changan's President, Wang Jun, articulated that the current automotive industry is fraught with intense competition. While it may seem that brands are merely vying for traffic and pricing, the crux of competition invariably returns to technology and efficiency. He contemplates the surge of electric vehicle development as an inexorable trend, resilient against the influences of any singular brand, nation, or region. However, differing enterprises and regions may experience varying paces and methods of development due to factors such as resource endowments, market conditions, and policy directions. These variances might influence the speed and trajectory of electric vehicle advancements to some extent, but on macro and long-term scales, they will not alter the overarching momentum propelling new energy vehicles forward. For this reason, Changan is committed to prioritizing technological innovation and efficiency enhancement as its core drivers while adeptly adapting to industry trends in pursuit of greater achievements in the EV sector.