BEIJING – While BYD has dominated the Chinese electric vehicle (EV) market, Huawei is emerging as a key player in the autonomous driving sector, according to a new report by the Korea Automotive Research Institute. The report, "Rise and Prospects of Huawei in the Chinese Automotive Market," suggests that Huawei, with its advanced software and hardware capabilities, is poised to lead the development of smart driving technology in China.

Huawei's strategy differs from other tech giants like Xiaomi and Baidu, as it focuses on providing advanced technologies and software solutions to established automakers rather than building its own vehicles. This approach has proven successful, with major Chinese automakers like Changan, Guangzhou Automobile, and BYD partnering with Huawei to enhance their vehicles' autonomous driving capabilities.

The report categorizes Huawei's partnerships with automakers into three levels: Tier 1 (supplying general components), HI (supplying advanced software and hardware), and HIMA (involving design, engineering, and sales). The HIMA model, in particular, has been a major success, with Huawei-powered vehicles achieving high sales despite premium pricing.

A key factor in Huawei's success is its ability to develop and commercialize advanced driver-assistance systems (ADAS) like autonomous emergency braking (AEB). Huawei has played a leading role in shaping China's AEB standards, ensuring that its technology meets and exceeds regulatory requirements.

While Huawei's dominance in the smart driving sector is significant, the report cautions that its position is not guaranteed. Other automakers, such as BYD, Xpeng, and Tesla, are investing heavily in developing their own autonomous driving technologies. The report suggests that the partnerships between Huawei and traditional automakers may be temporary, as these companies seek to reduce their reliance on external suppliers and establish their own technological capabilities.

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