Three consecutive days of stock price hikes, soaring by 20%. JAC Motors has finally broken its silence: Negotiations with Huawei and Stellantis are indeed in progress, but no legally binding agreements have been finalized.

The announcement is crafted with precision. On one hand, it admits the "intentions to communicate and negotiate," while on the other, it highlights that "no legally binding agreements have been signed." This strategic wording leaves ample room for market speculation while providing the company with a safety net.

What’s fueling this market frenzy?

It’s not really about JAC Motors—it’s about the buzzword ‘Huawei.’

Previous reports indicated that Stellantis, Huawei, and JAC Motors were considering a tripartite partnership, with Maserati’s electric vehicle lineup potentially adopting Huawei’s Harmony Intelligent Mobility platform. The market anticipates that JAC could secure contracts for manufacturing luxury electric vehicles, tapping into the lucrative overseas high-end contract manufacturing sector.

The spark was ignited by Yu Chengdong’s public remarks. At the Harmony Intelligent Mobility launch event on September 28, Yu explicitly outlined the ‘Four Realms’ focus: ZHIJIE, XIANGJIE, ZUNJIE, and SHANGJIE.

Xiang Xingchu, Chairman of JAC Motors, swiftly responded, stating that ZUNJIE’s foray into the ultra-luxury segment is just the beginning, with plans to venture into more specialized areas like SUVs and sporty luxury models.

The market zeroed in on two key phrases: ‘Huawei doubling down’ and ‘JAC securing contracts.’

However, JAC Motors’ announcement also laid bare some harsh realities: In the first half of 2026, the net profit attributable to shareholders of the listed company was a loss of 749 million yuan, with a loss of 991 million yuan after accounting for non-recurring items. A company that incurred losses nearing 1 billion yuan in just six months witnessed its stock price surge by 20% in three days.

Huawei is not publicly traded, but that doesn’t mean it will stand for speculation.

JAC mentioned in its announcement its intention to invest in Yinwang Intelligent Technology Co., Ltd. Yinwang is the entity behind Huawei’s Automotive BU, and JAC is a partner for the ‘ZUNJIE’ brand within the Harmony Intelligent Mobility ecosystem. While the cooperation is genuine, ‘being genuine’ and ‘being immediately profitable’ are two distinct concepts.

What’s even more intriguing is Huawei’s stance. During a store visit in Hefei, Yu Chengdong reiterated that Harmony Intelligent Mobility would concentrate on the ‘Four Realms,’ with resources being reallocated accordingly. When Ren Zhengfei met with Feng Changjun, General Manager of Dongfeng Motor, on September 22, he once again emphasized, ‘Huawei does not manufacture cars; it merely assists automakers in building superior vehicles.’

As Huawei is not publicly traded, it doesn’t require market value management or rely on stock price increases for funding. Its primary goal is to fortify the Harmony Intelligent Mobility ecosystem, enabling partners to genuinely produce and sell high-quality vehicles. It’s not what Huawei desires if partners exploit the ‘Huawei’ name to spin tales in the capital market and inflate stock prices.

JAC’s announcement serves as a reminder of the ‘uncertainties,’ yet the market chooses to focus solely on the ‘cooperation.’

Any price surge driven by hype is bound to revert to its original state.

Previously, companies like Seres, BAIC BluePark, and GAC Group witnessed similar market trends, only to eventually revert to their fundamentals. A glance at Seres’ stock price trajectory reveals the extent of the frenzy back then and the current predicament.

This isn’t JAC’s first brush with volatility due to the ‘Huawei concept.’ On September 21, 22, and 23, JAC’s stock price deviated by more than 20% over three consecutive trading days, prompting an announcement on abnormal volatility. On September 28, the stock hit another upper limit, and Huawei responded to the media, stating, ‘Stock price fluctuations are market-driven behaviors. The company and Huawei have always maintained cooperation.’

Two instances of volatility, two announcements, both asserting ‘no material undisclosed information.’

Cooperation intentions do not equate to formal agreements, formal agreements do not guarantee performance realization, and performance realization does not justify a stock price increase.

JAC reported a loss of 749 million yuan in the first half of the year, and the first SUV under the ZUNJIE brand is not expected to launch until early 2027. It will be at least a year and a half before any actual revenue is generated. This round of price surges is driven by ‘expectations’ and sold on ‘imagination.’

Huawei is not publicly traded and will not tolerate speculation. This is not merely a slogan—it’s Huawei’s底线 (bottom line) for ecosystem cooperation. Any price surge driven by Huawei hype is destined to revert to its original state.

Do you believe JAC Motors’ current surge represents value discovery or emotional speculation? Share your thoughts in the comments section.

Disclaimer: This article is intended for industrial and informational purposes only, citing data from public announcements, financial reports, and media sources. It does not constitute stock trading advice. Do not rely on unofficial concept rumors as established facts.