Changfeng posts 34% of annual sales target in H1

Shanghai, July 14 (Gasgoo.com) Changfeng Group, one of China’s largest light cross-country car manufacturers, has only completed 34% of its annual sales target in the first half of 2008 as a result of the oil price hike and natural disasters such as snowstorms and Sichuan earthquake, reports Beijing News today.

At the beginning of this year, Changfeng announced the group sales in 2008 will rise by 15,000 units to 65,000 units, with sales target of Liebao (Chinese for "Cheetah") brand at 34,600 units. However, the company has only posted 34% of its annual sales target in the January to June period, the largest sales of Liebao SUV totaling around 11,800 units, Changfeng sources said.

The surging oil price has not only affected Changfeng but the whole auto industry, the sources said. Besides, the snowstorms at the beginning of the year and Sichuan earthquake on May 12 also led to Changfeng sales slump.

Changfeng now is mulling shifting to the sedan sector under the soaring oil price, said Wang Yuejiang, Changfeng’s marketing director. Following Qinlin, Changfeng is planning a new model using the company’s own-made engine available in 1.6L, 1.8L and 2.0L, he said.