EHang, JAC Motors, and Guoxian Holdings form a joint venture to manufacture eVTOL aircraft in Hefei, enhancing China's low-altitude economy.
Quiver AI Summary
EHang Holdings Limited has announced a strategic cooperation framework agreement with Anhui Jianghuai Automobile Group Co., Ltd. (JAC Motors) and Hefei Guoxian Holdings Co., Ltd. to establish a joint venture in Hefei aimed at creating a state-of-the-art manufacturing facility for low-altitude, intelligent, and pilotless electric vertical takeoff and landing (eVTOL) aircraft. This partnership will integrate advanced manufacturing technologies and standardize key components to promote the development of the low-altitude economy and create a comprehensive industrial cluster. The collaboration seeks to leverage JAC Motors' expertise in automotive manufacturing and EHang's cutting-edge technology in eVTOL aircraft to enhance production capacity and accelerate the commercialization of low-altitude aviation. The Hefei municipal government will support this initiative, which is seen as a significant step towards developing a multi-dimensional transportation ecosystem in China.
Potential Positives
- EHang has entered a strategic cooperation framework agreement with JAC Motors and Guoxian Holdings, indicating a strong collaborative effort to advance the low-altitude economy and urban air mobility (UAM) sector.
- The establishment of a joint venture to build a state-of-the-art manufacturing base for eVTOL aircraft will enhance EHang's production capabilities and technological innovation in the rapidly growing aviation industry.
- The partnership is expected to leverage the expertise of JAC Motors in automotive manufacturing, potentially scaling up production of eVTOLs and contributing to cost efficiencies.
- This initiative aligns with the Hefei municipal government's support, aiding in the promotion of policy frameworks and infrastructure essential for advancing EHang's commercial operations in low-altitude aviation.
Potential Negatives
- The press release emphasizes the company's partnership with JAC Motors and Guoxian Holdings, which may raise concerns about EHang's reliance on external partners for R&D, manufacturing, and sales of its products, potentially impacting its independence and control over operations.
- The mention of upcoming commercial operations for the low-altitude economy may imply that EHang has yet to achieve significant commercialization, highlighting the challenges the company faces in scaling its operations and meeting market demand.
- The inclusion of a safe harbor statement regarding forward-looking statements suggests that the company anticipates potential risks and uncertainties that could affect its future performance, which might indicate caution among investors and stakeholders.
FAQ
What is the purpose of the EHang and JAC Motors agreement?
The agreement aims to establish a joint venture for manufacturing low-altitude eVTOL aircraft in Hefei.
How will this partnership impact low-altitude aviation?
This partnership will accelerate technological advancements and promote the industrialization of pilotless eVTOL aircraft.
What technologies will be integrated into the new manufacturing facility?
The facility will integrate advanced manufacturing technologies, standardization, and automation for efficient eVTOL production.
Who attended the strategic cooperation signing ceremony?
Key officials included members from local government, JAC Motors, and EHang leadership, highlighting strong support for the cooperation.
What are the expected outcomes of the EHang and JAC Motors collaboration?
The collaboration aims to create a robust industrial cluster and foster the development of the low-altitude economy in Hefei.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$EH Hedge Fund Activity
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Here are some of the largest recent moves:
- CARMIGNAC GESTION removed 895,671 shares (-73.0%) from their portfolio in Q4 2024, for an estimated $14,102,339
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- SUSQUEHANNA INTERNATIONAL GROUP, LLP added 686,622 shares (+921.5%) to their portfolio in Q4 2024, for an estimated $10,810,863
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- GROUP ONE TRADING LLC removed 446,353 shares (-50.9%) from their portfolio in Q4 2024, for an estimated $7,027,827
- STATE STREET CORP removed 332,120 shares (-25.6%) from their portfolio in Q4 2024, for an estimated $5,229,229
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Full Release
GUANGZHOU, China, Feb. 25, 2025 (GLOBE NEWSWIRE) -- EHang Holdings Limited (Nasdaq: EH) (“EHang” or the “Company”), the world’s leading Urban Air Mobility (“UAM”) technology platform company, announced a strategic cooperation framework agreement with Anhui Jianghuai Automobile Group Co., Ltd. (“JAC Motors”) and Hefei Guoxian Holdings Co., Ltd. (“Guoxian Holdings”). Under this agreement, cooperation will focus on establishing a joint venture in Hefei to invest in the construction of a state-of-the-art manufacturing base for low-altitude aircraft. The facility will integrate advanced technology, standardization, and automation to produce intelligent and pilotless electric vertical takeoff and landing aircraft ("eVTOL").
The strategic cooperation signing ceremony was attended by key officials including Fei Yuan, Standing Committee Member of Hefei Municipal Committee and Vice Mayor of Hefei; Xingchu Xiang, Chairman, and General Manager of JAC Motors; Xingke Yin, Vice General Manager of JAC Motors; Huazhi Hu, Founder, Chairman, and CEO of EHang; and Zhao Wang, Chief Operating Officer of EHang. They were joined by other distinguished guests in witnessing the signing of the strategic cooperation agreement, marking a new milestone in the high-quality development of China’s low-altitude economy ecosystem.
(Image: EHang, JAC Motors and Guoxian Holdings held a signing ceremony for the strategic cooperation framework agreement)
Under the cooperation agreement, the three partners will collaborate for R&D, manufacturing, and sales of this new type of eVTOL aircraft, to accelerate the technological advancements, industrialization and production capacity growth. The partnership will integrate the new energy vehicle industrial chain in Hefei with aircraft manufacturing technology, promote the standardization of key aircraft components, establish unified industry standards, and cultivate a comprehensive industrial cluster. This initiative aims to foster the development of the low-altitude economy and a new multi-dimensional transportation ecosystem.
As one of China’s top 100 industrial enterprises, JAC Motors will leverage its expertise in traditional automobile manufacturing, including mature production line processes, advanced manufacturing capabilities, and efficient production capacity and supply chain management, to scale up and automate eVTOL aircraft production. EHang will contribute its cutting-edge R&D and production technologies in the eVTOL aircraft sector, along its extensive experience in airworthiness certification and operations, providing essential technical support and assurance for low-altitude aviation in the partnership. Guoxian Holdings, a key player in the International Advanced Technology Application Promotion Center (Hefei) that drives breakthroughs, resource integration, and the cultivation of new quality productive forces, will facilitate policy support and create a favorable development environment for the cooperation. The partners will conduct joint research on the automated production technologies and processes of low-altitude aircraft, plan to build an aircraft manufacturing base in Hefei, and optimize product design and production processes by integrating their respective resources, collectively accelerating the commercialization of low-altitude aviation in the future.
EHang is actively collaborating with more local governments and partners in ample preparation for upcoming commercial operations of the low-altitude economy, including infrastructure construction, personnel training, and production capacity expansion. In October 2023, the Hefei municipal government signed a strategic cooperation agreement with EHang, leading to the establishment of two Urban Air Mobility (“UAM”) eVTOL operation centers at Luogang Central Park in Hefei. The collaboration with JAC Motors and Guoxian Holdings to build a world-class eVTOL production facility will further meet the growing market demand for pilotless passenger-carrying aircraft and lay the foundation for the large-scale deployment of eVTOLs once the low-altitude economy enters the commercial operation phase.
At the signing ceremony, Fei Yuan, Standing Committee Member of Hefei Municipal Committee and Vice Mayor of Hefei, extended his congratulations on the cooperation among the three parties. He emphasized that Hefei, as a key city for the national development of the low-altitude economy, will strongly support the partnership. The city aims to help all parties take the lead in exploring eVTOL supply chain capabilities, technology development and standard formulation. It will also provide advanced experience for the development of the low-altitude technology industry, seize the first-mover advantage in the opportunity of leapfrog development of the low-altitude economy, and create a demonstration benchmark in the field of intelligent manufacturing of the low-altitude economy in Hefei.
Xingchu Xiang, Chairman, and General Manager of JAC Motors, commented: "As a comprehensive automotive enterprise group integrating the R&D, production, sales, and service of full series commercial and passenger vehicles, and covering a wide range of fields including automotive mobility and financial services, JAC Motors is strategically partnering with EHang and Guoxian Holdings to develop the low-altitude economy. By leveraging Hefei’s high-quality resources, this collaboration aims to drive the high-quality growth of emerging industries. We look forward to mass production of low-altitude eVTOLs in Hefei and believe that our trilateral partnership will achieve outstanding results in this innovative-driven city."
Huazhi Hu, Founder, Chairman, and CEO of EHang, commented: "EHang is committed to advancing a full-scale low-altitude air mobility ecosystem and continuously collaborating with upstream and downstream partners to strengthen the industrial chain for pilotless eVTOL products. By joining forces with JAC Motors and Guoxian Holdings, we are building a strong foundation for future three-dimensional transportation ecosystems. With our combined efforts, we believe that the low-altitude economy will achieve groundbreaking advancements in intelligence, automation, and environmental sustainability, writing a new chapter for China’s high-quality development of the low-altitude economy in Hefei."
About EHang
EHang (Nasdaq: EH) is the world’s leading urban air mobility (“UAM”) technology platform company. Our mission is to enable safe, autonomous, and eco-friendly air mobility accessible to everyone. EHang provides customers in various industries with unmanned aerial vehicle (“UAV”) systems and solutions: air mobility (including passenger transportation and logistics), smart city management, and aerial media solutions. EHang’s flagship product EH216-S has obtained the world’s first type certificate, production certificate and standard airworthiness certificate for pilotless eVTOL issued by the Civil Aviation Administration of China. As the forerunner of cutting-edge UAV technologies and commercial solutions in the global UAM industry, EHang continues to explore the boundaries of the sky to make flying technologies benefit our life in smart cities. For more information, please visit
www.ehang.com
.
About JAC Motors
JAC Motors, founded in 1964, is a global comprehensive automotive enterprise group that integrates the research, production, sales, and service of a full range of commercial vehicles, passenger cars, and automotive-related services. The company also covers automotive mobility, financial services, and other sectors. With a total of 10 million vehicles delivered to global users, JAC Motors is a key player in the rise of China’s automotive industry.
About Guoxian Holdings
Funded by Hefei Chantuo Group and managed by the International Advanced Technology Application Promotion Center (Hefei), Hefei Guoxian Holdings Co., Ltd. plays a key role in promoting national and local initiatives, including overcoming system challenges, introducing centralized SOE resources and fostering new productive forces. Focusing on technological innovation, industrial aggregation, infrastructure development and talent cultivation, it aims to be a leader in areas such as low-altitude economy, intelligent robotics and next-generation technologies, thereby enhancing the city's capabilities and industrial competitiveness.
Safe Harbor Statement
This press release contains statements that may constitute “forward-looking” statements pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “aims,” “future,” “intends,” “plans,” “believes,” “estimates,” “likely to” and similar statements. Statements that are not historical facts, including statements about management’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to those relating to certifications, our expectations regarding demand for, and market acceptance of, our products and solutions and the commercialization of UAM services, our relationships with strategic partners, and current litigation and potential litigation involving us. Management has based these forward-looking statements on its current expectations, assumptions, estimates and projections. While they believe these expectations, assumptions, estimates and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond management’s control. These statements involve risks and uncertainties that may cause EHang’s actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements.
Media Contact
:
pr@ehang.com
Investor Contact
:
ir@ehang.com
Photos accompanying this announcement are available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/b22ed2ec-f30e-41b8-b811-e10f8141b4db
https://www.globenewswire.com/NewsRoom/AttachmentNg/fb4cbee6-c463-4bfc-a385-e44adf97f7d0
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