Possible name selected for upcoming Changan Ford own brand, production may begin in Chongqing

Gasgoo.com (Shanghai May 27) - Changan Ford is taking new steps as it eyes a coveted top three spot among China's best selling automobile enterprises. According to a recent report appearing in the Beijing Morning Post, Changan Ford may have already selected a name for its upcoming own brand venture - Jiayue (literally meaning "superior leap"). The brand's first model will be based on the classic Ford Focus. This information has yet to be officially confirmed by the manufacturer, with Changan Ford stating that it "will not comment on any future products."

The information regarding Changan Ford's new own brand comes from an official environmental rating on the "technological renovation" of Changan Ford's "I06 own brand passenger automobile assembly line". The announcement also mentions that Changan Ford's number one factory, located in the Chongqing New North Zone, is currently manufacturing the C307 Classic Focus, B515 EcoSport, CD391 Mondeo and a Volvo model with the Y483 number. According to the announcement, the factory's annual production capacity is 250,000 vehicles. In order to maintain competitive advantage, the factory may have to release a new product at any time, so the manufacturer needs to be active about making technological renovations. As such, Changan Ford has already begun doing work for the assembly line on which the I06 own brand passenger car will be made on. Production capacity for the I06 is designed to be 70,000 units per year. The project will involve technological renovation of the assembly line's pressure, welding, painting, general assembly and engine facilities, as well as improvements to logistic use equipment. Total investment in the project is estimated to be around one billion RMB ($162m), with production set to begin by September 2016.

The announcement's content seems to be right in line with statements made by Changan Ford's top brass. Changan Ford President Marin Burela, when asked whether or not the joint venture was preparing to release an own brand, stated that future developments had to be observed before deciding upon a specific timeline. Experts believe that with Ford's '1515' plan for the China market nearing its end, Ford will slow the pace of new product releases for the market, perhaps moving its focus to its JV's upcoming own brands. The most important prerequisite is the existence of industrial policies encouraging own brand or new energy vehicle development. Currently Changan's number one and number two factories in Chongqing boast a combined production capacity of 650,000 vehicles, while the company's expected sales volume for this year is expected to be around 800,000 vehicles. After its new factory in Hangzhou begins production next year, the JV's total production capacity will reach 1.2 million vehicles, however this figure may not be enough to satisfy its rapidly increasing growth.