Changan Auto joins industry price war - China’s latest business and technology news - SupChina

Changan Auto joins industry price war – China’s latest business and technology news


Caixin reports that Changan, one of China’s largest domestic car manufacturers, has “joined an ongoing industry-wide price war to clear inventory,” making price cuts ranging from 4,000 to 18,000 yuan ($585 to $2,600) across its fleet. The company’s flatlined year-to-year sales growth for January through March, and startling 58 percent plunge in sales in April, illustrate its struggles to compete with the price cuts of carmakers such as Great Wall Motors and Audi AG.

Caixin notes one company that has remained above the fray and enjoyed striking success without price cuts: Geely Automotive. The company, known for its wildly popular sport utility vehicles (SUVs) and its high-profile takeover of Volvo Cars in 2010, enjoyed “total car sales surging 98% in the first quarter” of 2017. Read more about Geely’s remarkable rise in this SupChina feature.


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Lucas Niewenhuis

Lucas Niewenhuis is an associate editor at SupChina who helps curate daily news and produce the company's newsletter, app, and website content. Previously, Lucas researched China-Africa relations at the Social Science Research Council and interned at the Council on Foreign Relations in New York. He has studied Chinese language and culture in Shanghai and Beijing, and is a graduate of the University of Michigan.