Analysis: Market prospects of the Changan CS95

In November of this year, Changan officially announced its all new mid-size seven-seater SUV, the CS95. The CS95’s introduction makes Changan the third domestic own brand manufacturer after Great Wall and GAC Trumpchi to offer a premium mid-size SUV. Will the CS95 be able to carry the Changan brand to success in China’s growing premium automobile market?

Changan CS95’s major competitors include the GAC Trumpchi GS8, which is the newest Chinese brand SUV to date. The GS8 has proven to be immensely popular with sales of 15,000 units last year, ranking far above the similarly positioned Great Wall Haval H9. The GS8 is priced at 180,000 RMB and has been highly praised for its aesthetics, interior, accessories and performance, making it a perfect complement to the similarly well-received GAC Trumpchi GS4.

Much like the GS8, the CS95 is a seven seater with a comprehensive set of features and newly built powertrain. However, the CS95 has one major disadvantage that it has to contend with; that is its relatively late release on the market. According to various sources, the Changan CS95 showed off at the Beijing Auto Show held in April of this year was actually already for production, however it was delayed due to poor reception of its exterior design. Unfortunately for Changan, release had to be pushed back to later in the year, after the GS8 had already hit the market and received high praise in both the media and the market. The CS95 will now have to compete with the GS8 which has already established somewhat of a name for itself. This is further compounded by the fact that the CS95’s list of features has yet to be officially released.

Changan’s previous performance figures in the SUV market have not been especially noteworthy. According to statistics from the China Passenger Car Association, sales of the CS75 over the first ten months of this year totaled 167,219 units, compared to 429,896 units for the Haval H6 and 273,189 units for the Trumpchi GS4. While this says nothing of the quality of Changan, it does reflect on the fact that in the SUV segment there is a large gap in recognition and image between it and Great Wall and GAC, which is especially important to consider since the CS75, being a premium model, is targeted at buyers who have already purchased vehicles in the past.

It is also worth mentioning that the CS95 is in no way Changan’s first foray into a premium automotive segment. In 2013 Changan debuted the Raeton midsize sedan, which was targeted  at a similar segment. Originally preorders for the vehicle exceeded 20,000 orders. However, that initial momentum proved hard to maintain, with monthly sales of the Raeton totaling a mere 3,902 units last month. There are concerns that the CS95 might follow a similar fate, especially as consumer demands for design and accessories continue to increase.

However despite the importance of design and accessories, brand image and recognition are perhaps even more vital when it comes to premium models. When taking into account the delayed launch of the CS95 in respect to its closest competitors, the Trumpchi GS8, Changan’s disadvantage becomes immediately evident.

On to the Changan CS95’s confirmed specs. The CS95 will be powered by an all-new independently developed 2.0 L turbocharged GDI engine (pictured) which makes use of internal injection, DVVT and other leading technologies to deliver performance that is in the upper branches of its class. The engine can output up to 171 kW of horsepower and 360 Nm of torque, compared to figures of 170 kW and 355 Nm from the Great Wall Haval H7L and 148 kW and 320 Nm from the Trumpchi GS8. The engine is driven by an Aisin-developed six-speed manumatic transmission and sits on a Macpherson front suspension and multi-link rear suspension in a 4WD configuration. These performance advantages are undoubtedly a major selling point that Changan will have to maximize coverage of to ensure sales success for the CS95. 

In conclusion, it is hard to predict how the Changan CS95 will perform. Lacking the striking design and favorable launch window of the GS8, as well as not being able to take advantage of massive name recognition in the SUV market like the Haval H7 is able to do with the Great Wall brand, the CS95 faces an upwards battle. The CS95 is expected to hit the Chinese market in the first quarter of next year. Whether or not the CS95 will rise above these concerns and become a successful model in its own right remains to be seen.