Chang'an Motors
Encyclopedia
Chang'an Automobile Co Ltd is an automobile manufacturer in Chongqing
Chongqing
Chongqing is a major city in Southwest China and one of the five national central cities of China. Administratively, it is one of the PRC's four direct-controlled municipalities , and the only such municipality in inland China.The municipality was created on 14 March 1997, succeeding the...

, China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...

, and a state-owned enterprise
Government-owned corporation
A government-owned corporation, state-owned company, state-owned entity, state enterprise, publicly owned corporation, government business enterprise, or parastatal is a legal entity created by a government to undertake commercial activities on behalf of an owner government...

 with China Weaponry Equipment as parent
Parent company
A parent company is a company that owns enough voting stock in another firm to control management and operations by influencing or electing its board of directors; the second company being deemed as a subsidiary of the parent company...

.

Its production is primarily composed of no frills
No frills
No-frills or no frills is a term used to describe any service or product for which the non-essential features have been removed to keep the price low. The use of the term "frills" refers to a style of fabric decoration...

 passenger cars and mini-vehicles, microvan
Microvan
A microvan is a van that fits into Japanese kei car classification or similar. In certain regions, these models are inexpensive and widely used for small business because of tax and insurance benefits; for example, in Japan they are exempted from a certification that there is adequate parking...

s and microtrucks that see commercial use.

Also known as Chana, the company is currently one of the "top 4" Chinese automakers along with Dongfeng Motor
Dongfeng Motor
Dongfeng Motor Corporation along with its listed subsidiaries comprise one of China's largest vehicle manufacturers.Traditionally included as one of the "big 3" Chinese automakers, Dongfeng is currently in the top 4 along with Chang'an Motors, FAW Group, and Shanghai Automotive Industry Corporation...

, FAW Group, and Shanghai Automotive Industry Corporation. In 2010 it became the fourth most-productive automaker in the Chinese automobile industry by selling 2.38 million units–a little more than 13% market share
Market share
Market share is the percentage of a market accounted for by a specific entity. In a survey of nearly 200 senior marketing managers, 67 percent responded that they found the "dollar market share" metric very useful, while 61% found "unit market share" very useful.Marketers need to be able to...

.

A subsidiary, Chongqing Changan Automobile Company , is listed on the Shenzhen Stock Exchange
Shenzhen Stock Exchange
The Shenzhen Stock Exchange is one of the People's Republic of China's two stock exchanges, alongside the Shanghai Stock Exchange. It is based in Shenzhen, China...

 (but, as of 2007, it is also state
People's Republic of China
China , officially the People's Republic of China , is the most populous country in the world, with over 1.3 billion citizens. Located in East Asia, the country covers approximately 9.6 million square kilometres...

 controlled).

Foreign automakers that have joined joint venture
Joint venture
A joint venture is a business agreement in which parties agree to develop, for a finite time, a new entity and new assets by contributing equity. They exercise control over the enterprise and consequently share revenues, expenses and assets...

s with Chang'an include Ford, Suzuki
Suzuki
is a Japanese multinational corporation headquartered in Hamamatsu, Japan that specializes in manufacturing compact automobiles and 4x4 vehicles, a full range of motorcycles, all-terrain vehicles , outboard marine engines, wheelchairs and a variety of other small internal combustion engines...

, and PSA Peugeot Citroen
PSA Peugeot Citroën
PSA Peugeot Citroën is a French manufacturer of automobiles and motorcycles sold under the Peugeot and Citroën marques. Headquartered in the 16th arrondissement of Paris, PSA is the second largest automaker based in Europe and the number eight in the world.-History:In December 1974 Peugeot S.A....

.

The company recently released a new logo for its consumer offerings; commercial production retains the red one.

History

Chang'an claims its early origins can be traced back to 1862 when Hongzhang Li set up the Shanghai Foreign Gun Bureau. How this company and today's Chang'an are linked is not clear, however.

Chang'an Factory

In the late 1950s its predecessor company, Chang'an Factory, assembled a jeep
Mini SUV
Mini SUV is a class of small sport utility vehicles with a length under . This class should not be confused with compact SUV, which refers to slightly larger vehicles, from ....

 sold under the brand
Brand
The American Marketing Association defines a brand as a "Name, term, design, symbol, or any other feature that identifies one seller's good or service as distinct from those of other sellers."...

 name Yangtze River. By the end of the 1980s the company was also producing mini vehicles, small trucks and vans that see commercial use.

Domestic acquisitions

Chang'an acquired two smaller, domestic automakers in 2009–Hafei
Hafei
Hafei, officially the Harbin HF Automobile Industry Group Co Ltd , is a Chinese holding company whose subsidiaries make automobile engines; sedans; MPVs; and mini vehicles, small trucks and vans that see commercial use...

 and Changhe
Changhe
Jiangxi Changhe Automobile Co Ltd is a car-making company based in Jingdezhen, Jiangxi province, China.Currently owned by Chang'an Motors, Changhe is engaged in a joint venture with Suzuki Motor Corporation of Japan, and manufactures products that carry the Suzuki brand.Making passenger cars and...

.

Suzuki

Technical and commercial cooperation with Suzuki Motors, beginning in 1983, saw Chang'an assembling inexpensive commercial trucks (originally the Suzuki Carry ST90) under license into the 2000s. The two companies formed Chongqing Chang'an Suzuki Automobile Co
Chang'an Suzuki
Chang'an Suzuki is a joint venture between Chang'an Motors and Suzuki Motors in Chongqing, China. Chang'an began assembling inexpensive commercial trucks under license from Suzuki Motors in 1990. Shortly after, in 1992, the two companies formed Chang'an Suzuki to built licensed versions of the...

 in 1993, which built licensed versions of the Suzuki Alto
Suzuki Alto
The Suzuki Alto is a small car designed by Suzuki. Its selling points include low price and good fuel economy. The model was introduced in 1979 and has been built in many countries worldwide.-1st generation :...

, Suzuki Cultus
Suzuki Cultus
The Suzuki Cultus is a supermini first presented at the 25th Tokyo Motor Show, formally introduced to the Japanese domestic market in 1983 and ultimately manufactured in seven countries across three generations and marketed worldwide under more than a dozen nameplates — prominently as the Suzuki...

, and more recently the Swift
Suzuki Swift
The Suzuki Swift is a subcompact car produced by Suzuki in Japan since 2000. Prior to this, the "Swift" nameplate had been applied to the Suzuki Cultus in export markets such as Australasia, Europe, India and North America.- Predecessor :...

.

In parallel with its Suzuki joint venture, Chang'an also continues to build mini-vehicles, microvan
Microvan
A microvan is a van that fits into Japanese kei car classification or similar. In certain regions, these models are inexpensive and widely used for small business because of tax and insurance benefits; for example, in Japan they are exempted from a certification that there is adequate parking...

s and microtrucks that see commercial use, based on the 1999 Suzuki Carry license but independently developed vehicles are quickly replacing them. These small cars carry the Chang'an brand name, although Suzuki technology is used in their design and manufacture.

In 2010 production capacity at Chang'an Suzuki was estimated at 180,000 units/year and the number of showrooms, 1000. Production capacity figures may consider engines and vehicles as discrete.

In 2010 Chang'an was supposed to merge its Suzuki joint venture with that of Changhe
Changhe
Jiangxi Changhe Automobile Co Ltd is a car-making company based in Jingdezhen, Jiangxi province, China.Currently owned by Chang'an Motors, Changhe is engaged in a joint venture with Suzuki Motor Corporation of Japan, and manufactures products that carry the Suzuki brand.Making passenger cars and...

, another automaker that participates in a JV with this Japanese company. This plan, supported by Suzuki, did not see fruition.

Ford

In 2001 Chana Ford Automobile Co
Chang'an Ford
Chang'an Ford Automobile Co., Ltd. is a joint venture between Ford Motor Company and Chang'an Motors in Chongqing, China.The company produced 20,000 Ford Fiestas in 2003 and will build the Mondeo and Escape-based Maverick SUV. Production is based around so-called knockdown kits, partially assembled...

 was formed. It initially built Ford-branded passenger vehicles from complete knock down kits.

Making Chinese-market versions of the Fiesta
Ford Fiesta
The Ford Fiesta is a front wheel drive supermini/subcompact manufactured and marketed by Ford Motor Company and built in Europe, Brazil, Argentina, Mexico, Venezuela, China, India, Thailand and South Africa...

, Focus
Ford Focus
The Ford Focus is a compact car manufactured by the Ford Motor Company since 1998. Ford began sales of the Focus to Europe in July 1998 and in North America during 1999 for the 2000 model year....

, Edge
Ford Edge
The Ford Edge is a mid-size crossover SUV manufactured by Ford, based on the Ford CD3 platform shared with previous generation Mazda6 and marketed in rebadged form as the Lincoln MKX...

, and Mondeo
Ford Mondeo
The Mondeo was launched on 8 January 1993, and sales began on 22 March 1993. Available as a four-door saloon, a five-door hatchback, and a five-door estate, all models for the European market were produced at Ford's plant in the Belgian city of Genk...

, etc. its 2010 dealer network was estimated to include nearly 350 showrooms, many in second and third-tier Chinese cities.

Alongside many other Sino-western joint ventures seeking to sell cheaper models to inland cities, Chang'an Ford may soon sell cars under a newly created brand name, which will be neither Chang'an nor Ford. Ford-branded Chang'an Ford products currently compete in inland cities against cheaper products made by indigenous manufacturers.

Volvo models

As a result of cooperation with Ford, the company has also produced Volvo
Volvo
AB Volvo is a Swedish builder of commercial vehicles, including trucks, buses and construction equipment. Volvo also supplies marine and industrial drive systems, aerospace components and financial services...

-branded cars. Production of the Volvo S40
Volvo S40
The Volvo S40 is a small family car produced by Volvo. It introduced the first generation S40 and V40 cars in 1995...

 and S80
Volvo S80
The Volvo S80 is a mid-size executive saloon/sedan from Swedish automaker Volvo Cars, and was introduced in 1998 to take the place of the rear-wheel drive Volvo 960/S90 saloons in the model range. The Volvo S80 was built at the Torslanda Plant in Gothenburg, Sweden. Unlike most Volvo models, it...

, begun in 2007, will continue although this Swedish automaker was recently purchased from Ford by another Chinese auto-maker, Geely.

PSA Peugeot Citroën

Chang'an and this French automaker agreed in 2010 to set up a 50/50 passenger car and light commercial vehicle-making joint venture
Joint venture
A joint venture is a business agreement in which parties agree to develop, for a finite time, a new entity and new assets by contributing equity. They exercise control over the enterprise and consequently share revenues, expenses and assets...

. Named CAPSA, it is the PSA Group's second joint venture company in China, after Dongfeng Peugeot-Citroën Automobile
Dongfeng Peugeot-Citroën Automobile
Dongfeng Peugeot-Citroën Automobile is a joint venture between the Dongfeng Motor Corporation and the French PSA Peugeot Citroën. Based in Wuhan, capital of Hubei province, it manufactures Peugeot and Citroën models for sale in China...

, and its first with Chang'an. Initial production capacity is estimated to be 200,000 units/year. Production capacity figures may consider engines and vehicles as discrete.

Electric vehicle

After six years of R&D, Chang'an debuted a hybrid automobile in 2007. The Jiexun, it was brought to market in June, 2010, and may be followed by an all-electric vehicle
Electric vehicle
An electric vehicle , also referred to as an electric drive vehicle, uses one or more electric motors or traction motors for propulsion...

 in 2011. China subsidies
Subsidy
A subsidy is an assistance paid to a business or economic sector. Most subsidies are made by the government to producers or distributors in an industry to prevent the decline of that industry or an increase in the prices of its products or simply to encourage it to hire more labor A subsidy (also...

 oil (an incentive for the State to encourage use and manufacture of electric cars), and some Chinese automakers see opportunities in less mature electric vehicles because Western companies have yet to develop much of a lead in the technology.

Visual identity

On October 31, 2010, Chang'an introduced new vehicle and company logos in a bid to revamp its visual identity.

Joint ventures

Chang'an has part ownership in number of joint venture companies with both foreign and domestic partners.
  • Chongqing Chana Suzuki Automobile Co
    Chang'an Suzuki
    Chang'an Suzuki is a joint venture between Chang'an Motors and Suzuki Motors in Chongqing, China. Chang'an began assembling inexpensive commercial trucks under license from Suzuki Motors in 1990. Shortly after, in 1992, the two companies formed Chang'an Suzuki to built licensed versions of the...

     - 1993–present - With Suzuki Motors
  • Chana Ford Automobile Co
    Chang'an Ford
    Chang'an Ford Automobile Co., Ltd. is a joint venture between Ford Motor Company and Chang'an Motors in Chongqing, China.The company produced 20,000 Ford Fiestas in 2003 and will build the Mondeo and Escape-based Maverick SUV. Production is based around so-called knockdown kits, partially assembled...

     - 2001–present - With Ford Motor Company
    Ford Motor Company
    Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...

  • Chang'an Ford Nanjing Co Ltd - 2001–present - With Ford Motor Company
    Ford Motor Company
    Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...

  • Chang'an Ford Mazda Engine
    Chang'an Ford Mazda Engine
    Chang'an Ford Mazda Engine is a joint venture between Chang'an Ford, Mazda, the Ford Motor Company and Chang'an Motors in Nanjing, China....

     - 2005–present - Produces engines with Mazda
    Mazda
    is a Japanese automotive manufacturer based in Fuchū, Aki District, Hiroshima Prefecture, Japan.In 2007, Mazda produced almost 1.3 million vehicles for global sales...

  • Jiangxi Jiangling Co Ltd - 2004–present - With Jiangling Motors
    Jiangling Motors
    The Jiangling Motors Corporation Limited , abbreviated JMC, is a Chinese automobile manufacturer that is also known by the Landwind brand name in a number of markets...

     - Produces the Jiangling Landwind
  • Chang'an PSA (CAPSA) - Finalised on 9 July 2010, it will see PSA Peugeot Citroen
    PSA Peugeot Citroën
    PSA Peugeot Citroën is a French manufacturer of automobiles and motorcycles sold under the Peugeot and Citroën marques. Headquartered in the 16th arrondissement of Paris, PSA is the second largest automaker based in Europe and the number eight in the world.-History:In December 1974 Peugeot S.A....

     build cars in China.

Production bases and facilities

Chang'an has four major production bases (in the City of Chongqing
Chongqing
Chongqing is a major city in Southwest China and one of the five national central cities of China. Administratively, it is one of the PRC's four direct-controlled municipalities , and the only such municipality in inland China.The municipality was created on 14 March 1997, succeeding the...

, Hebei province
Hebei
' is a province of the People's Republic of China in the North China region. Its one-character abbreviation is "" , named after Ji Province, a Han Dynasty province that included what is now southern Hebei...

, Jiangsu province
Jiangsu
' is a province of the People's Republic of China, located along the east coast of the country. The name comes from jiang, short for the city of Jiangning , and su, for the city of Suzhou. The abbreviation for this province is "苏" , the second character of its name...

 and Jiangxi province
Jiangxi
' is a southern province in the People's Republic of China. Spanning from the banks of the Yangtze River in the north into hillier areas in the south, it shares a border with Anhui to the north, Zhejiang to the northeast, Fujian to the east, Guangdong to the south, Hunan to the west, and Hubei to...

), eleven automobile production bases and two engine production bases in mainland China for a more-current total of 21 vehicle-making bases including newer sites in Anhui province
Anhui
Anhui is a province in the People's Republic of China. Located in eastern China across the basins of the Yangtze River and the Huai River, it borders Jiangsu to the east, Zhejiang to the southeast, Jiangxi to the south, Hubei to the southwest, Henan to the northwest, and Shandong for a tiny...

, Guangdong province
Guangdong
Guangdong is a province on the South China Sea coast of the People's Republic of China. The province was previously often written with the alternative English name Kwangtung Province...

, Heilongjiang province
Heilongjiang
For the river known in Mandarin as Heilong Jiang, see Amur River' is a province of the People's Republic of China located in the northeastern part of the country. "Heilongjiang" literally means Black Dragon River, which is the Chinese name for the Amur. The one-character abbreviation is 黑...

, Shandong province
Shandong
' is a Province located on the eastern coast of the People's Republic of China. Shandong has played a major role in Chinese history from the beginning of Chinese civilization along the lower reaches of the Yellow River and served as a pivotal cultural and religious site for Taoism, Chinese...

 and Shanxi province
Shanxi
' is a province in Northern China. Its one-character abbreviation is "晋" , after the state of Jin that existed here during the Spring and Autumn Period....

.

Anhui

A planned 300,000 units/year capacity mini-vehicle production base in Hefei
Hefei
Hefei is the capital and largest city of Anhui Province in Eastern China. A prefecture-level city, it is the political, economic, and cultural centre of Anhui...

, Anhui province
Anhui
Anhui is a province in the People's Republic of China. Located in eastern China across the basins of the Yangtze River and the Huai River, it borders Jiangsu to the east, Zhejiang to the southeast, Jiangxi to the south, Hubei to the southwest, Henan to the northwest, and Shandong for a tiny...

, should see completion in 2011. Production capacity figures may consider engines and vehicles as discrete.

Beijing

An existing R&D centre in Beijing
Beijing
Beijing , also known as Peking , is the capital of the People's Republic of China and one of the most populous cities in the world, with a population of 19,612,368 as of 2010. The city is the country's political, cultural, and educational center, and home to the headquarters for most of China's...

 (as of 2010, its focus was on commercial and crossover vehicles) will soon be joined by a passenger car production base in Fangshan District
Fangshan District
Fangshan District is situated in the southwest of Beijing, 38 km away from the downtown Beijing. It has an area of 2,019 square kilometers and a population of 814,367...

, Beijing
Beijing
Beijing , also known as Peking , is the capital of the People's Republic of China and one of the most populous cities in the world, with a population of 19,612,368 as of 2010. The city is the country's political, cultural, and educational center, and home to the headquarters for most of China's...

, which will become operational in 2012 and may produce electric vehicles.

Chongqing

Chang'an has numerous sites in the City of Chongqing
Chongqing
Chongqing is a major city in Southwest China and one of the five national central cities of China. Administratively, it is one of the PRC's four direct-controlled municipalities , and the only such municipality in inland China.The municipality was created on 14 March 1997, succeeding the...

. A Chang'an-Ford plant and another, planned Chang'an-Ford plant (which may produce engines) are joined by a Chongqing-based R&D centre and an industrial park in Yubei, Chongqing
Chongqing
Chongqing is a major city in Southwest China and one of the five national central cities of China. Administratively, it is one of the PRC's four direct-controlled municipalities , and the only such municipality in inland China.The municipality was created on 14 March 1997, succeeding the...

.

Hebei

An industrial park in Hebei province
Hebei
' is a province of the People's Republic of China in the North China region. Its one-character abbreviation is "" , named after Ji Province, a Han Dynasty province that included what is now southern Hebei...

 may continue to be Chang'an controlled.

Heilongjiang

A Harbin
Harbin
Harbin ; Manchu language: , Harbin; Russian: Харби́н Kharbin ), is the capital and largest city of Heilongjiang Province in Northeast China, lying on the southern bank of the Songhua River...

, Heilongjiang province
Heilongjiang
For the river known in Mandarin as Heilong Jiang, see Amur River' is a province of the People's Republic of China located in the northeastern part of the country. "Heilongjiang" literally means Black Dragon River, which is the Chinese name for the Amur. The one-character abbreviation is 黑...

, R&D centre, formerly Hafei
Hafei
Hafei, officially the Harbin HF Automobile Industry Group Co Ltd , is a Chinese holding company whose subsidiaries make automobile engines; sedans; MPVs; and mini vehicles, small trucks and vans that see commercial use...

-owned, is now a Chang'an asset.

Jiangsu

A Chang'an-Ford plant and an industrial park in Nanjing
Nanjing
' is the capital of Jiangsu province in China and has a prominent place in Chinese history and culture, having been the capital of China on several occasions...

, Jiangsu province
Jiangsu
' is a province of the People's Republic of China, located along the east coast of the country. The name comes from jiang, short for the city of Jiangning , and su, for the city of Suzhou. The abbreviation for this province is "苏" , the second character of its name...

, may comprise Chang'an operations in this province.

Jiangxi

A planned Chang'an commercial vehicle production base in Nanchang
Nanchang
Nanchang is the capital of Jiangxi Province in southeastern China. It is located in the north-central portion of the province. As it is bounded on the west by the Jiuling Mountains, and on the east by Poyang Lake, it is famous for its scenery, rich history and cultural sites...

, capital of Jiangxi province
Jiangxi
' is a southern province in the People's Republic of China. Spanning from the banks of the Yangtze River in the north into hillier areas in the south, it shares a border with Anhui to the north, Zhejiang to the northeast, Fujian to the east, Guangdong to the south, Hunan to the west, and Hubei to...

, will produce JMC
Jiangling Motors
The Jiangling Motors Corporation Limited , abbreviated JMC, is a Chinese automobile manufacturer that is also known by the Landwind brand name in a number of markets...

 and Ford-branded vehicles and join a former Changhe
Changhe
Jiangxi Changhe Automobile Co Ltd is a car-making company based in Jingdezhen, Jiangxi province, China.Currently owned by Chang'an Motors, Changhe is engaged in a joint venture with Suzuki Motor Corporation of Japan, and manufactures products that carry the Suzuki brand.Making passenger cars and...

R&D centre as a second facility in this province.

Overseas R&D centres

Possessing valuable IP
Intellectual property
Intellectual property is a term referring to a number of distinct types of creations of the mind for which a set of exclusive rights are recognized—and the corresponding fields of law...

, some R&D centres are more-valuable if located in secure, overseas locations. Chang'an has R&D centres in Nottingham
Nottingham
Nottingham is a city and unitary authority in the East Midlands of England. It is located in the ceremonial county of Nottinghamshire and represents one of eight members of the English Core Cities Group...

, England
England
England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...

; Turin
Turin
Turin is a city and major business and cultural centre in northern Italy, capital of the Piedmont region, located mainly on the left bank of the Po River and surrounded by the Alpine arch. The population of the city proper is 909,193 while the population of the urban area is estimated by Eurostat...

, Italy
Italy
Italy , officially the Italian Republic languages]] under the European Charter for Regional or Minority Languages. In each of these, Italy's official name is as follows:;;;;;;;;), is a unitary parliamentary republic in South-Central Europe. To the north it borders France, Switzerland, Austria and...

; Yokohama
Yokohama
is the capital city of Kanagawa Prefecture and the second largest city in Japan by population after Tokyo and most populous municipality of Japan. It lies on Tokyo Bay, south of Tokyo, in the Kantō region of the main island of Honshu...

, Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...

; and Detroit, MI
Michigan
Michigan is a U.S. state located in the Great Lakes Region of the United States of America. The name Michigan is the French form of the Ojibwa word mishigamaa, meaning "large water" or "large lake"....

.

External links

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