Some cities in China announce exclusive subsidies for Huawei cars

Wired Huawei contacted her asking about her potential role in subsidies. Huawei did not comment in time to publish.

One of the first online subsidies appeared in March, when the Trade Office in the Churchhen Longgang region – the province where the Huawei headquarters is located – –to publish Local auto buyers can get up to 4000 yuan (about $ 560) to buy a Huawei driver assistance system. The subsidies will be given on the basis of those who come first to serve first until the total budget of 14,000,000 yuan is exhausted, which means that more than 3,500 Chentyne residents have benefited from it.

Starting in May, many ads were published in a similar language later by the trade offices in provinces and other municipalities. In China, these trade offices work as consumers organizers, and are responsible for distributing government subsidies, including a A huge program was launched last year To encourage old electronics trading and cars to help stimulate the economy. The fact that Huawei’s subsidies are announced through trade offices that make them almost unmarried out of the official governmental care program.

In some cases, as in the provinces of Hanan and Anhoi, the subsidies were published instead by the car industry associations in the provinces. While these are technically private commercial groups, ads are printed on official messages and with red stamps, giving them a sense of power.

After US trade restrictions destroyed global smartphones in Huawei and forced them mainly to get out of the markets outside China, the technology giant is trying to re -invent itself. Besides creating the Harmony smartphones, smartphones, and cars, it also works increasingly on large language models and independent driving technologies amid the mutation of artificial intelligence.

The company pledged famously not to make a car itself – unlike its counterpart and Xiaomi smart competition – but it participated with a large number of Chinese car companies. Independent driving technology in Huawei is especially attractive for Chinese manufacturers who do not have the ability to develop self -driving alone. Tu says: “Technically, the brand, which is attractive to brands that are struggling to keep pace with the progress of smart driving space.” “Effectively, if you are desperate and you cannot follow it, you must partner with Huawei in the China market.”

The subsidies sparked controversy in China, as they seem to give some brands a leg in what has become a brutal competitive EV scene. With the local market saturation, Chinese brands are forced to reduce prices and give consumers free technical promotions or benefits -free financing options to stay on his feet.

Earlier this year, Beijing signal Car makers should avoid using maximum pricing tactics. “The central government eventually wants to see stable and profitable companies, not a super fragile industry, as no one earns any money,” says Eilara Mazuku, an older colleague at the Center for Strategic and International Studies that have studied Chinese industrial policy about EVS. “For consumers, this is great now, but it is not sustainable in the long run.”

Pressure from the central government to avoid feeding pricing wars pushes companies to reach more creative ways to make their cars more expensive. At the same time, Mazzocco says, local governments may look at Huawei self -driving technology positively because they fit with another political goal to develop high -tech manufacturing and artificial intelligence technology in China.

Before this year, WIRED has not been able to determine another similar subsidy from the Huawei since 2022. That year, shenzhen, Huawei’s birthplace was given 1400 dollars per car For people who bought vehicles equipped with harmonious. Huawei did not answer the Wire questions about whether the company was paying for them.