Deepal chairman Deng Chenghao on 29 September pushed back at reports that Changan Automobile is merging its Deepal and Avatr electric-vehicle brands, saying the coverage showed that the “insiders” quoted in the reports did not fully understand the plan, according to tech news site Kuaikeji via EV outlet D1EV.
The reports said Changan had set up a first-level “AD coordination development department” — the initials combining Avatr’s A and Deepal’s D — and was moving brand integration into a substantive phase. Under that department, Changan reportedly created units covering planning and cooperation, market and product, shared human resources, shared finance and general affairs. Changan also suggested Avatr set up shared or coordinated centres for design, product development and platform technology, while Deepal would dissolve several business units.
In an early-morning social media post, Deng acknowledged that AD coordination had taken a key step and was pushing forward on mid- and back-office collaboration “according to process.” But he said the two brands’ front-office operations would remain completely independent, their brand identities would not change, and customer experience and user service would stay the same.
Brands stay independent
Deng said the goal of the coordination is to build a high-quality mid-to-high-end brand group with global annual sales of 1.5 million vehicles. He framed the change as a strategic move aimed at faster development rather than a simple reduction in investment.
His remarks appear designed to reassure buyers and dealers that Deepal and Avatr will continue to be sold and serviced as separate brands, even as parent company Changan consolidates back-office functions behind the scenes.
Why coordinate now
Deng said intelligent electric vehicles have reached a stage where much technology has become standardised, forming fixed technical patterns. The coordination is intended to push platform sharing in those homogeneous areas while concentrating resources on safety and quality, he explained.
Resources saved through platformisation, he added, would be redirected toward newer, more competitive technologies such as AI and integrated powertrain-chassis development. That, he said, makes the AD coordination beneficial to both Avatr and Deepal.