Changan and Huawei Team Up for Smart Automotive Venture

In a groundbreaking move set to redefine the landscape of the global automotive industry, Changan Automobile and technology giant Huawei have once again forged an alliance, marking a significant step towards the development of intelligent automotive systems and components.

Changan Automobile, in an official statement to the Shenzhen Stock Exchange, revealed the signing of a memorandum of cooperation with Huawei. The memorandum outlines plans for a new company, spearheaded by Huawei, dedicated to the design and production of cutting-edge intelligent automotive solutions. In a strategic move, Changan is poised to acquire a substantial stake of up to 40% in this pioneering venture.

While the two companies have previously collaborated under the Avatr brand, introducing the Avatr 11 and Avatr 12 vehicles, this new memorandum signifies Huawei’s deeper financial involvement. Previously, Huawei’s role was confined to providing technological expertise through its automotive division. This collaboration, however, sees Huawei establishing a new entity focused on extensive research and development, along with the production of intelligent driving systems and components.

Changan aims to leverage this partnership to undergo a transformative journey into a low-carbon, smart transportation technology company. The joint venture’s scope is described as “comprehensive and forward-thinking,” encompassing a wide array of areas within the automotive industry. This includes automotive smart driving solutions, smart cockpits, smart car digital platforms, smart car clouds, AR-HUD (Augmented Reality Head-Up Display), and smart car lighting systems.

Huawei, known for its prowess in technology, is set to integrate key technologies and resources for smart car solutions into this collaborative venture. The memorandum of cooperation serves as the initial expression of intent, with detailed transaction agreements such as an equity purchase agreement and a shareholders’ agreement expected to be finalized in the next six months.

This strategic collaboration signifies a bold step towards the future of smart transportation, where two industry giants are pooling their expertise to create innovative solutions that may reshape the way we perceive and experience automotive technology. As the automotive landscape continues to evolve, the Changan-Huawei partnership is poised to play a pivotal role in steering the industry towards new horizons. Stay tuned as the details of this transformative venture unfold in the coming months.