How JAECOO’s premium strategy shapes Chery’s future in Malaysia

KUALA LUMPUR: When the Omoda C9 was previewed in Malaysia, there was some initial confusion as to why a vehicle from the Omoda brand was being managed and previewed under JAECOO.

The explanation, however, became clear: in Malaysia, JAECOO will handle the more premium offerings, while Chery Malaysia focuses on more attainable options.

Also Read: Omoda C9 previewed in Malaysia ahead of December launch - Premium off-road SUV est from RM185k,adaptive suspension, 2.0T 257hp/400Nm

This makes sense as the Omoda C9, expected to be priced under RM185k, is positioned higher than the Omoda 5, which is priced under RM147k.

While there has been speculation that the C9 was introduced under the JAECOO brand due to Chery’s market challenges, this is not the case. It actually aligns with Chery’s global strategy of branding JAECOO for premium vehicles.

During our visit to China for Chery's 2024 Global User Summit, we were given a tour of the new Omoda and JAECOO headquarters, located right next to Chery’s main offices.

This underscored Chery's decision to spin off OMODA and JAECOO as independent brands, each catering to different market segments. OMODA targets younger, urban drivers with its futuristic and stylish designs, while JAECOO focuses on premium SUVs with off-road capabilities.

Though they remain connected through shared technology and engineering, both brands are carving out their own identities. Having their own headquarters, which opened in July 2024, allows them to drive their global export ambitions with a more focused approach.

Chery's strategy of separating these brands aims to better position them in international markets like Europe, Latin America, and Malaysia, without the baggage of Chery’s past reputation.

OMODA’s youthful, tech-savvy image and JAECOO’s rugged, premium SUV appeal allow them to target distinct segments, attracting a wider range of customers with innovative features and sleek designs.

At the Omoda and JAECOO HQ, we also got a glimpse of other vehicles under the Chery umbrella, including Exeed, another premium brand. Interestingly, in China, the Omoda C9 is sold as the Exeed R9, raising the possibility that other Exeed models might be rebranded for Omoda or JAECOO in Malaysia.

This is exciting as Exeed has some impressive offerings like the Sterra ES sedan and the Exeed VX 7-seater SUV.

The Sterra ES is a high-end electric sedan with five trim levels, priced between 225,800 and 339,800 yuan (USD 31,600 to 47,550). Its top variant produces 353 kW, capable of going from 0 to 100 km/h in just 3.7 seconds, with a long-range model offering up to 905 km on a single charge.

Built on the advanced E0X platform, which it shares with the Luxeed S7 by Chery and Huawei, the Sterra ES is loaded with features like interactive LED signal panels and a remarkably low drag coefficient of 0.205 Cd.

Inside, it boasts a 15.6-inch floating screen, a two-spoke steering wheel, and a 23-speaker sound system, delivering a truly premium experience. This model is expected to enter international markets by 2024.

On the other hand, the Exeed VX is a mid-to-large premium SUV powered by a 2.0-liter turbo engine with 261 horsepower and 400Nm of torque. Its modern design, spacious seven-seater interior, and advanced tech make it a strong competitor to other premium SUVs like the Hyundai Palisade and Toyota Highlander.

With luxury features such as a panoramic sunroof and high-tech safety systems like adaptive cruise control, the Exeed VX offers premium value at a more affordable price point.

It is unclear however, whether all future Omoda vehicles will be parked under JAECOO, but based on our visit, it's clear that JAECOO Malaysia is a brand to watch closely. With a strong lineup of premium vehicles in the pipeline, we’re excited to see what else they will bring to the Malaysian market.

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