Changan to begin Russia sales in 2014

Changan to begin Russia sales in 2014

Changan Automobile Co. plans to launch car sales next year in Russia, a popular export market for Chinese automakers, the Chongqing Business Daily newspaper reported. Changan unveiled a new SUV concept, the S95, at the Frankfurt auto show last month

The state-owned automaker has signed an agreement with Russian distributor Irito to sell 12,000 cars in Russia next year, the report said.

Changan is headquartered in Chongqing.

The agreement was signed last month at the Frankfurt auto show. Changan was the only Chinese automaker that displayed cars at the show.

Under the agreement, Irito will distribute Changan’s cars through more than 100 stores that it operates in Russia. The partners also will open dealerships to sell Changan’s vehicles in Moscow, St. Petersburg and four other Russian cities.

Sales will start as soon as the first quarter of 2014, according to the newspaper.

If Changan successfully establishes a niche in Russia, the automaker will consider setting up a joint venture with Irito to assemble vehicles there, the newspaper reported.

Great Wall Motor Co., Zhejiang Geely Holding Group Co., Chongqing Lifan Industry Group Co. and Chery Automobile Co. assemble vehicles in Russia with kits exported from China.

Changan makes sedans, SUVs and microvans under its own brand. It also has joint ventures with global automakers including Ford Motor Co., Mazda Motor Corp., Suzuki Motor Corp. and PSA/Peugeot-Citroen.