Huawei and automaker GAC signed an agreement to create a new premium brand of smart and electric vehicles.
This development marks the revival of a project that, after being considered three years ago, had been suspended due to tensions between the two companies.
Huawei remains an essential supplier for GAC, whose Trumpchi vehicles will feature Huawei’s assisted driving technology and infotainment system, available to consumers starting in 2025, as announced in April during this year’s Beijing Auto Show.
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In 2021, Huawei and GAC initially planned to develop a large SUV using Huawei’s technologies, with expectations to launch it by the end of 2023.
However, after a criticism from GAC’s deputy general manager regarding Huawei’s pricing power, the joint development program was suspended in early 2023.
Huawei’s growth
Huawei has strengthened its position in China’s automotive industry, establishing collaborations with an increasing number of manufacturers such as Changan, Dongfeng, Chery, and BYD, as well as international brands like Toyota and Audi.
The agreement between Huawei and GAC not only demonstrates adaptability in the face of challenges but also highlights the growing importance of the automotive industry within the context of China’s economy.
At a time when many countries face difficulties in their automotive sectors, the Chinese model emerges as an example of how technology and automotive collaboration can drive meaningful innovations that not only benefit local consumers but also enhance the nation’s competitiveness on the global stage.
In an era of escalating geopolitical tensions, the approach of companies like Huawei and GAC in creating smart and electric vehicles can be seen as a proactive response to international circumstances.
