Huawei and SAIC partner to launch new EV brand Shangjie

Chinese tech giant Huawei and automotive leader SAIC Motor are set to debut their first co-developed electric vehicle under the newly established brand Shangjie. According to reports from local media, the inaugural Shangjie model will be derived from SAIC’s sub-brand Roewe, specifically the ES39 project.

Like Sony in Japan (with Afeela), Huawei in China is entering the automotive sector firmly, leveraging its Harmony Intelligent Mobility Alliance (HIMA) business model for operating systems.

The aim is to introduce cutting-edge smart driving technologies into mass-market electric cars. To add another car brand to its range, the electronic giant will build and market a joint vehicle with SAIC Motors, the mother company of the MG brand.

Affordable yet tech-savvy

The vehicle will be sold under the Shangjie brand and feature Huawei’s cockpit and intelligent driving technologies, positioning it as an affordable yet tech-savvy option within the Chinese EV market. It will be available in two battery variants and is expected to launch in the fourth quarter of 2025.

Pricing will also be competitive. The price ticket is expected to start at around RMB 150,000 (€19,670), making it the most affordable offering under Huawei’s HIMA umbrella. The vehicle targets younger consumers seeking advanced automotive intelligence at a competitive price.

The creation of Shangjie marks the fifth brand under Huawei’s HIMA initiative, which includes previous collaborations, such as Aito (with Seres), Luxeed (with Chery), Stelato (with BAIC), and Maextro (with JAC). These brands have collectively launched six EV models, including the Aito M5, Aito M7, Aito M9, Luxeed S7, Luxeed R7, and Stelato S9.

Huawei operates within three levels of automotive partnerships: providing components, offering its ‘Huawei Inside’ smart driving solutions, and establishing joint brands through the HIMA model. The collaboration with SAIC falls into the most integrated category, where Huawei plays a significant role in the design, technology, and marketing strategies.

On to a second model?

Industry insiders indicate that SAIC and Huawei initially considered basing their collaboration on SAIC’s Rising Auto sub-brand but ultimately decided on the Roewe ES39 as the foundation for Shangjie’s first model. The vehicle has been internally renamed RH-A and will feature significant integration with Huawei’s smart car architecture.

The development of a second model under the Shangjie brand remains under discussion, and SAIC and Huawei plan to co-develop a vehicle from the ground up.

This partnership arrives at a critical juncture for SAIC, which has faced declining sales amid increased competition from EV industry leader BYD. Last year, the latter overtook SAIC as China’s top-selling automaker, registering 4.27 million vehicle sales compared to SAIC’s 4.01 million, a 20% year-on-year decline.

SAIC’s reliance on traditional internal combustion engine (ICE) vehicles has hindered its transition to the EV era, making this collaboration with Huawei an essential strategic shift.