Emergence of the Fifth 'Boundary'? Rumors Suggest Huawei and SAIC Finalize 'Shangjie' Partnership

02/13 2025 492

On February 12, 2025, multiple media outlets reported that Huawei and SAIC Motor have officially confirmed their collaborative model, heralding the launch of a new automotive brand named 'Shangjie' under the Smart Selection framework.

While Huawei cautioned that 'all details are subject to official announcement' regarding 'Shangjie,' numerous specifics have nonetheless surfaced.

Huawei's HarmonyOS Smart Mobility brands adhere to a consistent naming convention with 'X Jie' — 'Wenjie' with Thalys, 'Xiangjie' with BAIC, 'Zhijie' with Chery, and 'Zunjie' with JAC. These 'Four Boundaries of HarmonyOS Smart Mobility' all utilize the Smart Selection model, catering to the 230,000 to 1 million yuan market segment. However, a noticeable gap remains in the mid-range market of 150,000 to 250,000 yuan. Thus, the introduction of 'Shangjie' aims to differentiate itself from the 'Four Boundaries' and complete the pricing matrix.

Industry insiders revealed that the partners have devised two models tailored for a younger demographic.

The inaugural 'Shangjie' model will be built upon the existing lineup of Feifan Automobile, a subsidiary of SAIC Motor. SAIC Motor has revived the ES37 project, internally known as Feifan RC7, with minimal anticipated changes in exterior design. The crux lies in the integration of Huawei's electronic and electrical architecture alongside its intelligent driving technology.

This new vehicle is slated for release in the fourth quarter of 2025.

SAIC Motor has been proactively preparing for its partnership with Huawei. By late January, the company had filed multiple trademark registration applications for 'Shangjie,' further substantiating the genuineness of the collaboration.

Additionally, SAIC Motor is forming a 'Large Passenger Vehicle Sector,' envisioning the consolidation of several divisions, including Roewe, MG, Feifan, SAIC International, the R&D Institute, Zero-Bundle Technology, and Overseas Travel. Future decisions on pivotal matters within the autonomous sector will be made collectively, an adjustment poised to facilitate the integration of Huawei's IPD system.

Currently, Huawei's Smart Selection team is stationed at SAIC Motor, and the two entities have assembled a joint team comprising over 100 individuals to vigorously advance the project.

Reacting to the cooperation news, SAIC Motor's share price (600104.SH) surged straight up in the afternoon of February 11, peaking at an over 8% increase. The stock closed at 19.01 yuan that day but retreated to close at 18.16 yuan on February 12.

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