Avatr Chairman: Huawei’s Tightening Strategy Has Little Impact on Brand
Ren Zhengfei, the founder of Chinese tech giant Huawei, has stated recently that the company should regard survival as its main goal in the face of ongoing economic challenges. Tan Benhong, the chairman and CEO of Chinese EV firm Avatr Technology, which was jointly established by Changan Automobile, Huawei and CATL, said in an interview with National Business Daily, “Although Huawei said that it would have a hard time, it actually has little impact on Avatr.”
This major collaboration with Huawei has attracted much attention from the outside world. Tan said, “The ecological cooperation circle between Huawei and car enterprises will not expand indefinitely in the future, while more attention will be paid to the sustainability of business logic in the selection of partners and models as well as its layout. This is a positive factor for our company, which has signed an in-depth strategic cooperation agreement and cooperated previously with Huawei. The cooperation will also further enhance its uniqueness and improve the cooperation value.”
According to the comprehensive strategic cooperation agreement signed by the company and Huawei in June this year, the two parties reached a consensus on the optimal resource input and Huawei HI trademark authorization. They will work together to build a series of high-end intelligent EV products based on the CHN platform, which continues to iterate, and launch four brand-new models by 2025.
“I personally think that Huawei’s CHN platform should be considered important,” Tan reckoned. The cooperation between the two parties is not a simple supply relationship. Regarding intelligent cockpits, Huawei provides the underlying software, while the company focuses on the product definition and top-level design.
In addition to product development, the relationships between the two firms’ various channels are getting closer. According to the plan, the firm has three channel modes, namely the experience center, center and sheet metal spray authorization center.
At present, AITO brand-related models cooperated by Huawei and Seres have been on sale in Huawei’s channels. With the entry of the Avatr 11, the two brands need to be distinguished in selling channels. In this regard, Tan said that some Huawei stores will specialize in selling Avatr’s models.
Since pre-sale started in May, the cumulative orders of the Avatr 11 have exceeded 20,000 units. With the delivery of the Avatr 11 at the end of 2022, its second mass-production model is also preparing for launch. “The Avatr 12 has been finalized and is expected to show in the second half of 2022. According to the plan, by 2025, there will be four products launching, and there are already three models. There will be sedans, SUVs and other Avatr models, all of which cost about 300,000 yuan ($43,497),” Tan said.
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Regarding energy replenishment, the company and British energy enterprise BP have carried out strategic cooperation. They will jointly invest in the construction of super-charging stations. Tan also revealed that the company’s high-voltage fast-charging stations were also suitable for other brands’ models.