Changan signs China Automotive as steering supplier

Shanghai July 13 (Gasgoo.com) Changan Automobile Co. has signed a deal with Wuhan Jielong Power Steering Co. Ltd. a subsidiary of China Automotive Systems, Inc., to make electric steering units for Changan vehicles, media reported today.

China Automotive Systems, a leading supplier of power steering components and systems in China, announced yesterday that its subsidiary Wuhan Jielong Power Steering Co. Ltd. has received a purchase order from Changan Auto for A10 electric power steering ("EPS") units.

Changan Auto, one of China's top 4 automakers, has been using China Automotive's hydraulic power steering systems for two years. It had been using the electric steering system on a trial basis. China Automotive also supplies electronic steering units to Changan's partner Suzuki Motor.

As its EPS products have successfully passed Changan's trial order and received positive feedback for its road test performance and quality standard, China Automotive's has now begun commercial shipments to Changan.

Changan Auto's sales in the first half of this year grew 47.68% to 974,499 vehicles. After acquiring Hafei Auto and Changhe Auto, Changan now has 21 auto plants across the country. Last week it signed a joint venture deal with PSA Peugeot-Citroen.