AsianFin -- China Changan Automobile Group Co., Ltd. has officially completed its industrial and commercial registration, with a registered capital of RMB 20 billion, marking the establishment of the country’s third state-owned enterprise (SOE) in the auto sector, following China FAW Group and Dongfeng Motor Corporation.

According to China Central Television (CCTV), the newly formed central SOE is a result of a spin-off from the China South Industries Group Corporation. The group now comprises 117 subsidiaries and operates across a broad range of businesses including vehicle manufacturing, parts production, auto sales, financial and logistics services, and motorcycles.

Executives from China Changan said the group will focus on developing new drivers of productivity such as intelligent vehicle robots, flying cars, and embodied AI. It also plans to explore integrated mobility solutions across land, sea, and air, while accelerating its global expansion with a focus on Southeast Asia, the Middle East and Africa, Latin America, Eurasia, and Europe.

The restructuring marks a major step in China’s broader efforts to deepen SOE reform and optimize the allocation of state capital. It also reflects the government’s push to enhance the competitiveness of its auto industry, a key pillar of the national economy.

Officials from the State-owned Assets Supervision and Administration Commission (SASAC) said the formation of the three major central SOE auto groups will help drive high-quality development of China’s intelligent and connected new energy vehicle (NEV) sector and support the creation of globally competitive, world-class brands.