Changan Automobile reports 35% year-on-year slump in April sales

Shanghai (Gasgoo)- Chongqing Changan Automobile Co.,Ltd (Changan Automobile) sold 121,245 vehicles in April, posting a steep year-on-year drop of 35% and month-on-month decline up to 38.3%, the automaker said on May 10. 

For the first four months, sales of the Chongqing-based automaker slumped 32.5% from a year earlier to 570,056 units. 

The downturn also reflected on most subsidiaries. Especially, two major joint ventures—Changan Ford and Changan Mazda—saw their sales in April tumbled 60.9% and 47% respectively.

Changan Ford has been experiencing negative growth for a long while. To revive the sales performance in China, Ford launched in early April the “Ford China 2.0” strategy to roll out over 30 new Ford- and Lincoln-branded models in the world’s largest auto market over the next three years, including more than 10 NEV models.

According to local media outlets, Changan Ford plans to release four new models in the second half of the year, including the Focus Active compact crossover, the all-new Edge mid-sized SUV, the all-new Taurus mid-sized sedan and the Escape compact SUV. Of that, the Focus Active is expected to hit the market as early as August. The roll-out of new products is a part of efforts for the joint venture to rescue sales.

Changan Automobile announced earlier this month that its operating income in the first quarter of the year slumped 20% over the previous year to RMB16.008 billion.

Meanwhile, the quarterly net profit attributable to shareholders of the listed company reached –RMB2.096 billion, a year-on-year nosedive of 250.62%. The net profit excluding non-recurring gains and losses sharply plunged 341% from the year-ago period to –RMB2.161 billion.