BYD partners with Huawei to integrate advanced autonomous driving technology in off-road EVs

Chinese electric vehicle (EV) leader BYD has announced a strategic partnership with tech giant Huawei (HWT.UL) to incorporate the latter's cutting-edge autonomous driving technology into its off-road EV models. The collaboration was confirmed on Tuesday, with Huawei revealing that the Bao 8 SUV from BYD’s Fangchengbao lineup will be the first model to feature Huawei's Qiankun intelligent driving system, scheduled to hit the market later this year.

This move is part of BYD's broader strategy to upscale its brand offerings. The company aims to boost the sales of its premium brands—Denza, Fangchengbao, and Yangwang—after these brands contributed only 5% to its total sales in the first half of the year, according to the China Association of Automobile Manufacturers. By leveraging Huawei's advanced technology, BYD seeks to enhance its smart driving capabilities and compete more effectively in the premium EV segment.

Despite BYD's dominant position in the EV market, which it has achieved through a vertically integrated approach and significant cost advantages, the company has faced pressure to advance its autonomous driving features. While BYD has invested heavily in developing its own advanced driver-assistance systems (ADAS) and hired thousands of engineers for this purpose, it still relies on external suppliers for sophisticated intelligent features in its high-end models. For instance, the Denza brand utilises ADAS technology from Momenta.

The partnership with Huawei underscores the increasing influence of the Chinese tech conglomerate in the automotive sector. Huawei is expanding its role as a major ADAS supplier, and its technology will also be adopted by Volkswagen’s Audi for its EVs sold in China.

This collaboration marks a significant development in the EV landscape, reflecting both BYD's commitment to elevating its product offerings and Huawei's growing impact as a key player in automotive technology.