Reported Reuters news agency a company China’s Huawei plans to manufacture electric cars under its own brand and may launch some models this year, as the world’s largest telecommunications equipment maker, which has been hit by US sanctions, explores a strategic shift.
The company is in talks with state-owned Changan Automobile and other auto makers to use auto factories to build their electric cars.
Huawei is also in discussions with BluePark New Energy Technology of the Beijing-backed BAIC Group to manufacture its electric vehicles.
The plan heralds a potential major shift in Huawei’s direction after nearly two years of US sanctions that blocked its access to major supply chains, forcing it to sell part of its smartphone business to keep the brand alive.
A Huawei spokesman denied that the company plans to design electric cars or produce Huawei branded cars.
The spokesman said: Huawei is not a car manufacturer, however, we aim Through information and communication technology to be a digital vehicle-oriented provider and new additive component provider, enabling car manufacturers to build better cars.
Reuters said: Huawei has begun designing electric cars internally and is communicating with suppliers with the aim of officially launching the project early this year.
The focus of Richard Yu, head of the consumer business group at Huawei who led the company to become one of the largest smartphone manufacturers in the world, is shifting focus to electric vehicles, targeting A large segment of the market.
Chinese tech companies are intensifying their focus on electric cars in the world’s largest market for such vehicles, as Beijing has been aggressively promoting greener vehicles as a way to curb chronic air pollution.
Sales of new energy vehicles, including battery electric vehicles, plug-in hybrid vehicles and hydrogen fuel cell vehicles, are expected to account for about 20 percent of total annual vehicle sales in China by 2025.
Industry forecasts show that China’s sales of new energy vehicles have reached 1.8 million units this year, up from around 1.3 million in 2020.
Huawei’s ambitious plans to build its own cars see it join a group of Asian technology companies that have made similar announcements in recent months, including Baidu and Foxconn.
The new and complex US restrictions on semiconductors against Huawei were slowly suffocating it. So it makes sense for the company to focus on industries that are less chip-intensive in order to maintain operations.
For years, Huawei has been developing a wide range of technologies for electric vehicles, including in-vehicle software systems, vehicle sensors, and 5G communication devices.
The company has also formed partnerships with automakers, such as: Daimler and General Motors, to jointly develop smart vehicle technologies.
Huawei has accelerated the recruitment of engineers for auto-related technologies since 2018, and has obtained the At least four patents are related to electric vehicles, including charging methods between electric cars and battery health checks.
Huawei’s entry into the electric vehicle market is currently separate from the joint smart vehicle company that it jointly established with Changan Automobile and CATL to make electric batteries in November.