Huawei and Chery Auto have successfully navigated through semiconductor shortages and production challenges, allowing for the mass delivery of the Luxeed S7 electric sedan.
Richard Yu, managing director and chairman of Huawei’s smart car solutions, shared the news on the Weibo social media platform, confirming that many Luxeed S7 vehicles have been produced and are now being transported to customers.
Previous Challenges Faced by Huawei and Chery Auto:
Earlier setbacks in production were attributed to issues with a computing unit supplied by Huawei, leading to delays in vehicle deliveries. Chery had raised concerns over these production issues, prompting efforts to address the challenges.
The Luxeed S7 sedan marks the debut model for Chery’s Luxeed EV brand and has garnered substantial interest, with approximately 20,000 orders recorded as of November 28. Positioned as a premium electric vehicle, the Luxeed S7 offers advanced features and performance.
Financial Outlook for Huawei’s Smart Car Unit:
Despite initial losses, Huawei remains optimistic about the prospects of its smart car unit. With a rebound in consumer segment revenues and the contribution from new businesses like smart car components, Huawei anticipates profitability for the unit starting in April.
This development underscores Huawei’s commitment to diversifying its business portfolio and overcoming challenges in the evolving automotive industry landscape.