(Yicai Global) June 6 -- Chinese telecoms giant Huawei Technologies will join with Hefei Guoxuan High-Tech Power Energy, one of the nation's major power lithium battery producers, to develop new lithium power systems for electric vehicles.
Shenzhen-based Huawei will provide lithium electric system design and integration solutions, per the agreement, and ensure the products' market competitiveness, while Guoxuan will develop and produce the batteries, its parent, Guoxuan High-Tech, announced yesterday.
Huawei has openly denied its entry into the EV business, but it was recruiting electric system experts for EVs last month.
"Except for the vehicles themselves, Huawei is involved in everything in electric vehicle development," as one industry insider put it.
Shares [SHE:002074] of Guoxuan High-Tech, which is based in Hefei, capital of China's eastern Anhui province, rose 3.02 percent by 1.50 p.m. to CNY12.64 (USD1.83) in an overall flaccid market.
Editor: Ben Armour