Why was the Bestune X40 discontinued?

[ORemington]

Bestune X40 was discontinued mainly due to poor market response. Bestune X40 model positioning: The Bestune X40 is positioned as a compact SUV, with dimensions of 4310mm1780mm1680mm and a wheelbase of 2600mm. Bestune X40 entertainment features: The Bestune X40 is equipped with FAW Bestune's newly developed D-Life vehicle connectivity system, which functions like a portable smart terminal, allowing flexible customization of various online applications such as navigation, music, radio, news, weather, and social media.

[Jimenez]

The discontinuation of the Bestune X40 is a long story. I happen to have a friend who worked at a FAW dealership for several years. According to him, the sales of this car started to decline continuously from 2020, often dropping below triple digits monthly. The manufacturer invests tens of millions in producing a batch of cars, but the dealerships are struggling with excessive inventory, even the display cars are gathering dust. More importantly, during the same period, the Bestune T33 was launched, equipped with a smart connectivity system as standard across all models, and young people are more willing to spend an extra ten thousand or so to buy the new model. In fact, the X40's chassis and engine are basically the same as the older Senia R7, and the technical platform hasn't seen major updates in ten years. Now, domestic cars in the same price range come standard with L2 driving assistance, while the X40 still uses a mechanical handbrake. Currently, the entire Bestune brand is transitioning to the T series, so naturally, the old production lines are being shut down to clear out inventory.

[MatthewMarie]

Once, I chatted with a relative who runs an auto parts factory about this. He said the production halt was more of a supply chain issue. The 1.6L engine in the Bestune X40 is too outdated, and parts suppliers have been transitioning to new energy components over the past two years, causing the price of cast parts to rise by 20%. Coupled with increasing labor costs, the profit per vehicle has been squeezed to less than 3,000 yuan. When the China VI emission standards were fully implemented two years ago, the X40 needed an upgrade to its three-way catalytic converter, adding over 8,000 yuan to the cost per vehicle. FAW did the math and found it more cost-effective to launch the new T33 model rather than modify the production line. Now, in the used car market, a 2019 Bestune X40 with 50,000 to 60,000 kilometers on the odometer sells for just over 40,000 yuan, with a significantly lower resale value compared to its peers.

[SanDaniel]

I've studied the market report of the X40, and the core issue lies in its ambiguous positioning. When it was launched in 2017, it was positioned as an 80,000-yuan compact SUV, but its features couldn't match the Baojun 510, and its brand couldn't compete with the Honda XR-V. By 2019, the main models were still using halogen headlights, while competitors had already upgraded to LED. Towards the end of its product life, there were complaints, with owners frequently reporting issues like electronic power steering lag. The manufacturer later shifted focus to the T series, allocating R&D budgets to electric vehicle projects. In fact, the Senya R7, which shares the same platform, was discontinued two years earlier. The X40 lasting until 2021 was already considered a long run.