China’s SAIC Motor entered a new business venture with tech giant Huawei, a new EV brand to be named Shangjie. The unveiling happened during the Harmony Intelligent Mobility Alliance (HIMA) new product launch event.
Shangjie‘s first model, a SUV with starting prices around 170,000 yuan ($23,000), will be launched later this year, according to local media outlet 36k. The brand aims to appeal to younger consumers.
The tech conglomerate has created four new brands: Aito from Seres Group, Luxeed from Chery, Stelato from BAIC Group, and Maextro from Anhui Jianghuai Automobile Group (JAC).
It will feature autonomous driving and in-car entertainment systems, according to Richard Yu Chengdong, chair and former CEO of Huawei Consumer Business Group.
The joint venture had been previously announced by SAIC in mid-February, when the company stated to have signed an agreement with the tech giant to create globally competitive intelligent vehicles.
It will have a team of over 5,000 people working on operations and technology, according to SAIC.
SAIC Ventures
China’s largest state-owned carmaker — which currently builds gas-powered cars with General Motors and Volkswagen — is entering the EV market to recover recent financial losses as more consumers switch to new energy vehicles.
The state-owned automaker reported a decline of 20% last year in overall vehicle sales, amid a brutal price war and bruising competition in the world’s largest auto market. Sales from its joint venture with Volkswagen fell 5.5%, while the figures with GM plunged 56.5%.
The company also reported a 14% decline in overseas shipments in 2024, following EU tariff announced late last year — which are currently being renegotiated amid rising global trade tensions.
IM Motors — a venture between SAIC and Chinese technology companies Zhangjiang Hi-Tech and Alibaba Group — has also signed a cooperation agreement with Dubai’s Smart Mobility International (SMI) to advance market layout in the Middle East.
IM plans to enter Saudi Arabia and other Gulf markets by 2025, expanding across the entire Middle East region by 2026.
