Changan Auto Group opens three new R&D centers

Shanghai, April 20 (Gasgoo.com) China's major automaker Changan Automobile Group launched three new research and development (R&D) bases on Saturday, which are aimed for boosting the company's R&D capabilities in the new-energy and commercial vehicle sectors, media reported.

The three bases are located in Beijing, Heilongjiang province and Jiangxi province, bringing the number of its R&D centers to seven, as the company already has R&D centers in Chongqing, Shanghai, Turin (of Italy) and Yokohama (of Japan). The carmaker is planning another two in the U.S. and UK.

Changan Group, a Ford Motor partner, took over major auto assets from aircraft maker Aviation Industry Corp of China (AVIC) in late last year. With AVIC's automaking units Hafei Auto (in Heilongjiang) and Changhe Auto (in Jiangxi) merged into the company, Changan has become China's third largest automaker (after SAIC and FAW).

The new Changan R&D centers in northeastern province of Heilongjiang and central province of Jiangxi are based on the R&D units of Hafei Auto and Changhe Auto, and will focus on products for regional markets. The all-new Beijing center will develop commercial and crossover vehicle models to meet the demand in North China.

Changan Group aims to launch 22 models of new-energy vehicles by 2015 when revenue from sales of new-energy autos is expected to account for up to 20% of the firm's total, said President Xu Liuping, adding that 4.5% of the revenue will be put into R&D projects.

In the first quarter of this year, the group's auto sales surged 75% from a year earlier to 728,000 vehicles, and its operating revenue grew 82% year on year to 39 billion yuan ($5.71 bln).