Chinese state-owned automaker Dongfeng Motor Corporation is stepping up its collaboration with local technology giant Huawei Technologies Company after the two companies agreed to develop a new range of smart new energy vehicles (NEVs) for the local market.
The Wuhan-based automaker has agreed to work with Huawei to develop a new range of smart battery electric vehicles (BEVs) to be sold under its Dongfeng eπ (Yipai) brand, which has been struggling to gain momentum since its launch in 2023. China’s NEV segment has become extremely competitive, with aggressive discounting and new models and brands continually coming on to the market.
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The deal signed this week follows an earlier agreement, signed last October, whereby the two companies agreed to establish a broad-based, long-term strategic partnership covering area such as automotive electronics, software and smart cars. Huawei also supplies OS and ADAS (Advanced Driver Assistance Systems) systems for Dongfeng’s M-Hero and Voyah brands.
The new agreement aims to strengthen the Dongfeng eπ brand, which is positioned in the mid- to high-end BEV segment and currently comprises two models – the eπ 007 sedan and the eπ 008 crossover. Combined sales amounted to just over 45,000 last year, according to industry data, after deliveries began in March.
Huawei has a number of BEV development partnerships with local automakers, including state-owned BAIC Group, GAC Group and Changan Automobile, using the technology company’s smart, connected technologies.
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By GlobalData
