The Chinese technology company Huawei Technologies plans to produce electric cars under its own brand. She could introduce some models as early as this year.
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Huawei is the world’s largest maker of telecommunications equipment, but has recently expanded into new industries due to sanctions from the United States.
Sources say that Huawei has started internal development of electric cars and that it intends to officially present the project this year. According to sources, the company is already negotiating with the state-owned company Changan Automobile and other car manufacturers to use their factories for the production of its electric cars.
However, a Huawei spokesman denied that the company planned to design electric cars and manufacture vehicles under its own brand. “Huawei is not a car manufacturer,” he said. However, he added that the company wants to become a supplier of components focused on digital cars through information and communication technologies, and thus enable the production of better cars.
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Chinese technology companies are paying more and more attention to electric cars. China is the world’s largest electric car market, and Beijing strongly encourages the use of greener vehicles as a tool to improve air quality.
Alternative propulsion cars, known as NEVs (New Energy Vehicles), are expected to account for 20 percent of total car sales in China by 2025. The NEV category includes pure electric cars, hybrid cars and hydrogen cars.
The United States accuses Huawei of stealing technology and suspects espionage of the Chinese government. But the company has been rejecting this for a long time. Last November, Huawei sold the low-cost Honor division to Huawei due to US sanctions.
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“US restrictions on semiconductor supplies for Huawei are gradually stifling the company,” said analyst Dan Wang of research firm Gavekal Dragonomics. “So it makes sense that the company is moving to a less chip-intensive industry so that it can continue to operate,” he added.
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