PLUS THREE MILLION NEW CARS: CHANGAN SHARES PLANS FOR 2023

To be more exact, these are 2.8 million cars planned to be manufactured and sold all over the world by one of China’s major automakers during 2023. Zhu Huayong, Chairman of Changan Automobile, shared this information with the participants of the Global Partner Conference held in Chongqing in mid-January. Another impressive figure was also announced: 4 million cars is the volume of group sales the company will aim for in 2025.

Global Strategy—Priority of Green and Smart Technologies

The carmaker’s optimism is quite realistic against the 2022 results, when Changan Automobile’s sales increased by 2% and exceeded 2.3 million cars. Such figures as annual exports and sales of cars on new energy sources also boosted (+48.83% and +150% accordingly), which indicates the brand’s ambitions to increase its share in the global auto retail sales and serious intentions to develop the production of hybrids and electric cars. According to the company’s strategic plans, the sales of cars on new energy sources are to achieve 35% by 2025, and to exceed 60% by 2030. A positive trend of the Chinese auto giant especially impresses by its contrast with the trend of the global car industry that still experiences difficulties.

Apart from the green area, smart technologies also continue to be a priority for Changan. By the way, Changan is one of the ten technology leaders of the world’s auto industry: its profile is not only car making but also serious research and development. The auto group annually invests over 5% of its revenue in nine R&D and design centers based in Italy, Japan, the UK, the US, Germany and China itself. The company also makes use of over 180 various laboratories all over the world and Asia’s largest testing ground with 70 types of various coatings.

Plans for Kazakhstan—It’s Just the Beginning

Changan officially came to Kazakhstan in the second half of 2022: it is when Kazakhstan’s Astana Motors and China’s auto group signed a Distribution Agreement to supply finished cars and a Memorandum of Participation of the Chinese partner in the implementation of a major and strategic project for construction of a multi-brand full-cycle plant in Almaty’s industrial zone.

Now cars come to Kazakhstan directly from plants in China. Such logistic route allows to support regular supplies and ensures that cars are available in dealerships. Changan has chosen the most popular models of its line-up to start with on our market: compact SUVs CS35Plus and CS55Plus, mid-size SUV CS75FL and the brand’s technology flagman—UNI-K.

As for Changan brand cars marked “Made in Kazakhstan”, their manufacture is planned to be launched in as little as two years: preliminarily in early 2025. The multi-brand plant will also make cars of two more Chinese auto brands by CKD assembly with welding and body painting. The plant’s overall capacity will allow to produce up to 90 thousand cars a year.

“Globally, Changan is very actively updating its line-up. As its distributor in Kazakhstan, we are interested in new models to come to our market as soon as possible. To expand our model range, we consider various car segments and are constantly negotiating with Changan International Corporation’s HQ in China,” Sergey Galkin, head of Kazakhstan distribution, notes. “A mix of high-tech, modern design solutions and high level of comfort are the common family traits for all Changan cars. We are quite confident that Kazakhstan residents will appreciate the cars, meaning that the brand has great prospects on our market”.

Kazakhstan’s Association of Auto Business also reports that Chinese car brands are beginning to enjoy more social approval in Kazakhstan. In 2021, the share of Chinese brands in total car sales in Kazakhstan was not more than 3.7%, while in 2022 every 10th new car purchased was of Chinese origin. Cars always available in stock in dealerships, their attractive price, engineering and latest smart options contribute to that.

The landscape on our car market changes considerably, and Changan sees a great opportunity in such changes to compete for the attention of Kazakhstan drivers. Changan dealerships were opened in six cities during as little as six months after entering our market: two each in Almaty and Astana, as well as in Shymkent, Karaganda, Kostanai and Uralsk. Changan plans to be even closer to car lovers all over the country and expand its network to 18 cities in 2023. Atyrau, Pavlodar, Ust-Kamenogorsk, Aktobe, Aktau, Taraz, Kyzylorda, Petropavlovsk, Kokshetau, Semey and Taldykorgan are the next locations where the brand sees goods prospect for its development.