EHang Partners with Changan Automobile on Flying Cars to Create an Innovative Way for Personal Transportation

Zhao Wang, Chief Operating Officer of EHang and Xiaoyu Zhang, Executive Vice President of Changan Automobile sign a strategic cooperation agreement
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EHang Holdings Limited (Nasdaq: EH), a global leader in Urban Air Mobility (UAM) technology, has signed a strategic cooperation agreement with Chongqing Changan Automobile Co., Ltd. (Shenzhen Stock Exchange: 000625), a prominent Chinese automotive manufacturer. This groundbreaking partnership, celebrated during a high-profile ceremony attended by Chongqing’s government officials and industry representatives, signals a new era for flying cars and electric vertical takeoff and landing (eVTOL) aircraft.

Zhao Wang, Chief Operating Officer of EHang and Xiaoyu Zhang, Executive Vice President of Changan Automobile sign a strategic cooperation agreement
Zhao Wang, Chief Operating Officer of EHang and Xiaoyu Zhang, Executive Vice President of Changan Automobile sign a strategic cooperation agreement

This collaboration merges EHang’s advanced expertise in aerial vehicle development and low-altitude flight management with Changan’s extensive automotive manufacturing capabilities. Together, they aim to develop, produce, and commercialize next-generation flying cars, targeting a broad consumer base while integrating automotive and aerospace technologies.


Expanding the horizons of urban air mobility

EHang, a pioneer in the global UAM sector, has established itself as a leader in pilotless eVTOL aircraft. Its flagship model, the EH216-S, represents the future of unmanned, electric-powered, and intelligent low-altitude transportation solutions. During the signing ceremony, the EH216-S impressed attendees with a successful pilotless passenger flight, underscoring its readiness for commercialization.

The EH216-S pilotless eVTOL performs a flight demonstration at the signing ceremony, while the EH216-F and EH216-L pilotless eVTOLs are displayed on-site
The EH216-S pilotless eVTOL performs a flight demonstration at the signing ceremony, while the EH216-F and EH216-L pilotless eVTOLs are displayed on-site

Changan Automobile, one of China’s top four automotive groups, offers a strong foundation in research and development, supply chain management, and market reach. This strategic alliance capitalizes on their respective strengths to accelerate advancements in flying cars. The partnership encompasses R&D, manufacturing, marketing, sales, user experience optimization, and after-sales services, creating a robust eVTOL ecosystem.


The economic potential of low-altitude mobility

The low-altitude economy, integrating unmanned, electric, and intelligent aviation technologies, is an emerging sector with immense potential. In 2023, China’s low-altitude economy surpassed 500 billion yuan, and it is projected to reach 2 trillion yuan by 2030 and 3.5 trillion yuan by 2035. These figures, provided by the Civil Aviation Administration of China, highlight the significant market opportunities for eVTOL technologies.

The signing ceremony of the strategic cooperation agreement between EHang and Changan Automobile
The signing ceremony of the strategic cooperation agreement between EHang and Changan Automobile

Concept Explained: Low-Altitude Economy
The low-altitude economy involves economic activities driven by aircraft operating below 1,000 meters. These include logistics, tourism, emergency services, and personal transportation, leveraging advanced eVTOL technologies for improved efficiency and sustainability.


Chongqing’s role in advancing UAM

Chongqing’s mountainous terrain and innovative economic policies position it as a hub for low-altitude mobility solutions. In September 2023, the Chongqing Municipal Government introduced the Action Plan for Promoting Low-Altitude Airspace Management Reform and High-Quality Development of the Low-Altitude Economy (2024–2027). This initiative aims to establish Chongqing as a benchmark city for innovation in this sector.

Integrating eVTOL aircraft into Chongqing’s transportation network promises to address the region’s geographical challenges, delivering efficient, sustainable, and three-dimensional mobility solutions. This initiative sets a new standard for urban transportation in China.


Visionary investments in future mobility

Changan Automobile is making significant investments in the low-altitude economy. Chairman Huarong Zhu announced plans to allocate over 20 billion yuan to flying car development over the next five years and more than 100 billion yuan over the next decade. These investments focus on exploring integrated mobility solutions across land, sea, and air, positioning Changan as a leader in next-generation transportation technologies.

Investment Breakdown

TimeframeInvestment AmountFocus Areas
Next 5 years20 billion yuanFlying car development
Next decade100 billion yuanIntegrated mobility (land, sea, air)

Huazhi Hu, Founder, Chairman, and CEO of EHang, emphasized the transformative potential of the collaboration:

“EHang is committed to enhancing the eVTOL industrial chain through collaborations with upstream and downstream partners. This strategic alliance with Changan Automobile will further enrich the ecosystem of the low-altitude economy, offering consumers diverse and innovative travel options.”


Driving innovation through cross-industry collaboration

The partnership between EHang and Changan exemplifies the benefits of cross-industry collaboration. By combining their expertise, the companies aim to overcome challenges in scaling eVTOL production and adoption. Their joint venture will focus on future mobility technologies, ensuring technologically advanced and market-ready products.

The collaboration’s scope includes technical development, commercial applications, and user-centric designs, creating a seamless integration of low-altitude mobility into everyday life. Flying cars will soon become a practical and appealing option for consumers.


Conclusion

The strategic partnership between EHang and Changan Automobile marks a significant milestone in urban air mobility. By combining EHang’s eVTOL expertise with Changan’s manufacturing capabilities, the collaboration is poised to revolutionize urban transportation. Aligning with China’s innovation-driven goals for the low-altitude economy, this partnership promises a future of efficient, sustainable, and intelligent urban mobility.


Source: ehang.com

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