Workers in the final assembly workshop at a Changan Automobile factory. (Photo/Chongqing Daily)
Chongqing - Changan Automobile has launched an upgraded Deepal S07 in China, starting at 149,900 yuan (about 22,370 U.S. dollars). With lidar, driver assistance and fast charging in the 150,000-yuan segment, the model highlights the growing adoption of advanced EV technologies in mass-market vehicles.
But adding more advanced features to lower-priced EVs also puts pressure on automakers to cut costs. The International Energy Agency expects fierce price competition in China’s EV market to continue, according to its Global EV Outlook 2026 report.
Chongqing-based Changan works to share technologies across models and improve manufacturing efficiency. Standardizing technical architecture and reducing duplicate development are intended to spread R&D costs across more vehicles and support mass production of well-equipped models.
A Changan R&D manager said chassis, body and infotainment control systems previously came from different suppliers, each using different interfaces and technical standards. Even fine-tuning coordination between radar and braking systems could require repeated discussions among several companies, adding development time and costs.
To improve coordination between systems, Changan developed its own SDA architecture and standardized interfaces for relevant components. This provides a common basis for software and hardware development and lets the company reuse technologies developed for shared functions across more models.
The company also strengthens cooperation between brands. Changan recently established an AD Coordination Department to align back-end operations at its Avatr and Deepal brands. It also proposed shared or collaborative centers for vehicle styling, product development and platform technology.
Deepal Chairman Deng Chenghao said on September 29 that the work was progressing in line with established procedures and that both brands continued to operate independently. The effort focuses on developing common technology platforms and directing more of the saved resources toward AI and other new technologies, making R&D resources more efficient, he said.
Continued R&D investment supports this work. According to Changan’s 2025 annual report, the listed company invested about 12.576 billion yuan in R&D during the year, up 23.79% and equivalent to 7.67% of revenue.
Manufacturing is another focus of Changan’s cost-control efforts. The company uses digital systems to prevent errors in critical fastening operations during final assembly, digital twins to identify stamping problems in advance, and AI visual inspection to detect battery-pack assembly defects. These measures aim to reduce scrap and rework.
The local supply network expands. On September 28, China Changan Automobile Group and affiliated companies signed agreements in Chongqing covering component supply chains, industry investment funds and road testing. The planned industry investment fund will focus on automotive-grade chips, key components and new automotive materials.
Changan Executive Vice President Yang Dayong told reporters in September that the cost of in-house solutions would fall as the company’s sales increased and its technologies matured, making its products more competitive.