LUXEED Signs Strategic Cooperation 2.0 Agreement with Huawei

LUXEED invests ¥10 billion+ ($1.4 billion+), expands R&D team to 5,000, forms a NEV company, deepens integration with Huawei for future growth.

On August 7, LUXEED signed the Strategic Cooperation 2.0 agreement with Huawei.

According to the plan, LUXEED will invest over ¥10 billion ($1.4 billion) and expand its R&D team to 5,000 members to strengthen its technological leadership. Meanwhile, a new company, LUXEED New Energy, will be established to independently operate across production, sales, and service, ensuring a more seamless and high-quality user experience. Several important new models are also set to launch, creating a richer product matrix and injecting strong momentum into the brand’s long-term development.

At the beginning of 2024, the LUXEED S7 faced delivery difficulties due to supply chain and factory capacity issues, with fewer than 1,500 units sold in three months. In response, Huawei and Chery rapidly adjusted their cooperation model:

First, the LUXEED business unit was upgraded to an independently accounted entity within Chery. A dedicated factory—Chery’s Super Factory 2—was allocated to secure production capacity without conflicts. Concurrently, Chery established the “Kaiyang Laboratory” to replicate Huawei’s 2012 Labs model, accelerating the deployment of intelligent technologies. On the distribution side, a dedicated LUXEED dealer network was launched to alleviate pressure on Harmony Intelligent Mobility Alliance (HIMA) showrooms.

This delivery crisis ultimately accelerated the integration of resources between the two parties.

At this year’s 2025 Future Auto Pioneers Conference, Chery Chairman Yin Tongyue, stated that Chery’s future development direction would be closely aligned with Huawei.

According to the plan, the first MPV co-developed under the LUXEED brand with Huawei—codenamed EHV—is set to debut in the first quarter of 2026, targeting the luxury segment. The vehicle will be built on Chery’s E0X-L platform and will offer both pure electric and extended-range versions. Powered by CATL batteries, the extended-range model may achieve a total range exceeding 1,500 kilometers.

Notably, to avoid internal competition, Chery voluntarily halted development of its own luxury MPV project, the “Sterra E08”, and reassigned the R&D team to the LUXEED MPV project.

Behind this resource shift is a complete restructuring of brand strategy, and this Strategic Cooperation 2.0 agreement marks the first step in that transformation.