China’s telecom giant Huawei plans to manufacture electric vehicles

27 February, 2021
China’s telecom giant Huawei plans to manufacture electric vehicles
China’s Huawei ideas to make electrical vehicles under its brand and may launch some products this year, four resources explained, as the world’s most significant telecommunications products maker, battered by US sanctions, explores a good strategic shift.

Huawei Technologies is in talks with state-owned Changan Vehicle and other automakers to employ their car plants to make its electric automobiles (EVs), according to two of the persons familiar with the problem.

Huawei is also found in discussions with Beijing-backed BAIC Group’s BluePark New Energy Technology to produce its EVs, said one of the two and another person with direct knowledge of the matter.

The program heralds a potentially key shift in direction for Huawei after practically two-years of US sanctions which have cut its usage of key supply chains, forcing it to market part of its smartphone business to keep carefully the brand alive.

Huawei was located on a trade blacklist by the Trump administration above national security concerns. Various industry executives see little prospect that blocks on the sale of vast amounts of dollars of US technology and chips to the Chinese enterprise, which has denied wrongdoing, will come to be reversed by his successor.

A good Huawei spokesman denied the business plans to design EVs or produce Huawei branded vehicles.

“Huawei is not a car manufacturer. Even so, through ICT (facts and communications technology), we aim to be a digital car-oriented and new-added elements provider, enabling car OEMs (original apparatus manufacturers) to build better cars.”

Huawei has started internally designing the EVs and approaching suppliers at home, with the aim of officially launching the job as early as this season, three of the resources said.

Richard Yu, head of Huawei’s consumer business group who led the business to become among the world’s largest smartphone manufacturers, will shift his focus to EVs, said 1 source. The EVs will aim for a mass-industry segment, another origin said.

All the resources declined to end up being named simply because the discussions are private.

Chongqing-based Changan, which is definitely making autos with Ford Motor, declined to comment. BAIC BluePark did not react to repeated requests for comment.

Shares of Changan’s key listed organization Chongqing Changan Vehicle rose 8 % after Reuters reported the discussions. BluePark’s shares jumped by their maximum 10 % daily limit.

Chinese technology companies have been upgrading their focus on EVs on the world’s biggest market for such vehicles, as Beijing heavily promotes greener vehicles as a way of reducing chronic polluting of the environment.

Sales of new energy vehicles (NEVs), including pure battery electric vehicles and also plug-found in hybrid and hydrogen gasoline cell vehicles, are anticipated to create up 20 % of China’s overall gross annual auto sales by 2025.

Industry forecasts set China’s NEV sales at 1.8 million units this season, up from about 1.3 million in 2020.

Huawei’s ambitious projects to create its own autos will dsicover it join a raft of Asian tech corporations that have made related announcements in recent months, including Baidu and Foxconn.

“The novel and complicated US restrictions on semiconductors to Huawei have slowly been strangling the company,” said Dan Wang, a technology analyst with research firm Gavekal Dragonomics.

“So it is practical that the company is pivoting to less chip-intensive industries in order to maintain operations.”

In america, Amazon.com and Alphabet are actually also developing auto-related technology or buying smart-car start-ups.

Huawei has been creating a swathe of technology for EVs for years including in-car software systems, sensors for automobiles and 5G communications hardware.

The company in addition has formed partnerships with automakers such as for example Daimler, General Motors and SAIC Electric motor to jointly develop smart auto technologies.

It has accelerated the hiring of engineers for auto-related technologies since 2018.

Huawei was awarded at least four patents linked to EVs this week, including options for charging between electric cars and for checking battery well being, according to official Chinese patent records.

Huawei’s push in to the EV market happens to be separate from a good joint smart vehicle business it co-founded along with Changan and EV battery maker CATL found in November, two of the sources said.
Source: www.thenationalnews.com
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