Core Insights - The article discusses the marketing challenges faced by Huawei's automotive division, particularly in promoting the capabilities of the new vehicle, the Enjoy S9, and the newly launched logo [1][3][5] Group 1: Marketing and Branding - Huawei's executive, Yu Chengdong, acknowledged the company's poor marketing skills, stating that even family members questioned the vehicle's sun protection capabilities [1] - The newly released logo for the Enjoy brand, which symbolizes "universal stars," aims to resonate with users and reflects a unique Chinese design [3][8] - The Enjoy S9 has sparked discussions among users regarding its logo, with many expressing a desire for a more appealing design [6][8] Group 2: Vehicle Performance and User Experience - The Enjoy S9 has seen significant sales growth, becoming the best-selling electric sedan priced over 300,000 yuan, with 4,154 units delivered in June [8] - Users have praised the vehicle's advanced safety features, including a comprehensive collision avoidance system, which enhances driving confidence [8] - The company plans to launch a second model, a travel car, in the fall, which promises high aesthetics, spaciousness, and excellent handling [10] Group 3: Future Outlook - Yu Chengdong expressed confidence in the Enjoy S9's sales potential, aiming for monthly sales to exceed 10,000 units and eventually reach 15,000 [10] - The company is committed to continuous improvement in research and development, with a focus on high standards and quality in the Enjoy brand [8]

Core Viewpoint - The article discusses recent controversies surrounding Hai Lantian, the product director of Zhijie, and the brand's public image, highlighting the challenges faced by the high-end smart car brand in managing its reputation and communication strategies [1][3][5]. Group 1: Recent Events - Hai Lantian's social media post about Zhijie's logo, which tagged Lei Jun, was deleted shortly after, raising questions among netizens about the appropriateness of the action [1]. - Zhijie's recent live stream event faced backlash from viewers, leading to an abrupt termination of the broadcast. Hai Lantian issued multiple apologies and reassured the audience that the situation was under control [3]. - Hai Lantian's profile description stating "Zhijie is pure-blood Hongmeng Zhixing" has drawn significant attention and speculation from netizens regarding its implications [5]. Group 2: Brand Performance - Zhijie is a high-end smart car brand created through a collaboration between Huawei and Chery Automobile, part of the Hongmeng Zhixing ecosystem. It is one of five brands under this system, with the others being Wenjie, Xiangjie, Zunjie, and Shangjie [7]. - In June, the latest delivery data showed that Wenjie remains the leading brand in terms of sales within the Hongmeng Zhixing lineup, with 44,700 units delivered, accounting for nearly 85% of total sales [9]. - In contrast, Zhijie's sales figures for June were significantly lower, with only 2,459 units sold, which is a fraction of Wenjie's performance [9].

Core Points - The "Xiangjie" star-shaped logo was officially launched during the 2025 Xiangjie User Star Night event, symbolizing the collaboration between Huawei and BAIC Group in the high-end smart automotive sector [1][2] - The new logo, named "Huanyu Star," aims to enhance the luxury positioning of the Xiangjie brand while embodying a romantic vision of "picking stars" [2][4] - The Xiangjie brand is a key part of Huawei's smart car strategy, with the first model, Xiangjie S9, set to launch in August 2024 [4][6] Brand and Product Development - The Xiangjie brand has now introduced three logos under the "Hongmeng Zhixing" initiative, with plans for a total of five logos, all featuring a hexagonal design [4] - The Xiangjie S9 achieved significant sales, delivering 4,154 units in June, leading the market for new energy vehicles priced above 300,000 yuan [6][8] - The upcoming Xiangjie travel vehicle is expected to launch in the fall of this year, further expanding the product lineup and enhancing user choices [11] Manufacturing and Quality Standards - BAIC Group emphasizes a commitment to high manufacturing standards, with precision control of key body contours within ±0.3 mm and a dual quality inspection system involving both BAIC and Huawei teams [8][11] - The company has implemented a "zero" emissions policy in its manufacturing processes, ensuring environmental sustainability [8] Marketing and User Engagement - Actor Shen Teng, as the experience officer for Xiangjie, participated in the event, promoting the brand's user experience and comfort features [9][11] - The event highlighted the brand's commitment to providing a smart and comfortable travel experience, with a focus on user satisfaction and engagement [11]

Core Viewpoint - The article highlights the launch of the "Xiangjie" star-shaped logo by Huawei and BAIC Group, marking a significant step in their collaboration in the high-end smart automotive sector, with expectations for the brand to become a "technical lighthouse" in China [2][8]. Group 1: Logo Launch and Design - The "Xiangjie" star-shaped logo, named "Huanyu Star," was officially released, featuring the brand name "STELATO" at its center, surrounded by starry design elements, symbolizing a romantic vision of "picking stars" [4][6]. - The logo design is inspired by the "Huanyu Star," utilizing a hexagonal framework that reflects the family genes of Hongmeng Zhixing, enhancing the luxury positioning of the Xiangjie brand [4][6]. Group 2: Sales Performance - In June, the Xiangjie S9 model achieved impressive sales, delivering 4,154 units, maintaining its position as the top-selling new energy vehicle priced above 300,000 yuan [7][8]. Group 3: Manufacturing Standards and Commitments - BAIC Group's chairman emphasized the commitment to high standards in manufacturing, including precision control within ±0.3 mm and real-time monitoring of over 20,000 parameters for each vehicle, ensuring quality and environmental sustainability [11]. - The dual quality inspection system between BAIC and Huawei ensures rigorous quality checks, akin to requiring two signatures for passing an exam [11]. Group 4: Future Product Launches - A new travel vehicle under the Xiangjie brand is set to launch in the fall of this year, expanding the product matrix and offering more choices to consumers [15]. - The new vehicle is expected to feature a family design language, closed front face, and advanced smart driving assistance systems, including laser radar [15].

Core Viewpoint - The launch of the new "Xiangjie" brand logo by Hongmeng Zhixing aims to create a memorable visual identity that reflects the brand's spirit and family design language [1][3]. Brand Development - The "Xiangjie" logo is inspired by the concept of "universal stars" and features a hexagonal framework that maintains the family design of Hongmeng Zhixing, incorporating elements of Eastern aesthetics [3]. - The registration of the "Xiangjie" trademark was completed in June, and plans for the "Zhijie" brand logo are also underway, indicating a broader branding strategy [5]. Product Launch Plans - The second vehicle under the "Xiangjie" brand is a C+ level pure electric luxury wagon, set to launch in the fall of this year, following the "Xiangjie S9" [6]. - The "Xiangjie S9" wagon aims to penetrate a niche market, with analysts suggesting that market education and consumer acceptance will be crucial for its success [6]. Strategic Changes - Huawei is shifting its management approach in the Hongmeng Zhixing business from a dominant role to a more collaborative model, allowing partners more autonomy [11]. - The establishment of dedicated sales networks for "Xiangjie," "Zhijie," and "Shangjie" brands reflects Huawei's strategy to expand sales channels while maintaining overall control of marketing and service [11].

Investment Rating - The report assigns an "Accumulate" rating for the company for the first time [3]. Core Views - The company has established a dual-brand strategy and is implementing a three-year leap plan aimed at increasing both volume and profitability. The focus is on structural optimization and cost reduction while improving revenue and profit margins [8][19]. - The company is experiencing significant growth in revenue and profit margins, with a notable increase in sales for its high-end brand, Xiangjie, particularly after the launch of the S9 extended-range version [9][52]. - The company aims to position itself among the top players in the new energy vehicle market by 2027, with ambitious sales targets for both its brands [19]. Summary by Sections 1. Company Overview - The company is the first publicly listed new energy vehicle company in China and has established a deep partnership with Huawei, enhancing its product offerings and market presence [13]. - The dual-brand strategy involves the simultaneous development of the Extreme Fox and Xiangjie brands, with a clear three-year plan to boost operations [16]. 2. Financial Performance - The company has transitioned from B2C to C2C products, with revenue growth driven by improved product structure. Revenue for 2023 and 2024 is projected at 14.32 billion and 14.51 billion yuan, respectively, with a significant year-on-year growth rate of 50% and 1% [22]. - The company has implemented cost control measures while ensuring R&D investment, leading to a recovery in net profit margins to their highest levels since 2020 [26]. 3. Xiangjie Brand Development - The Xiangjie brand is gaining recognition in the high-end market, with the S9 extended-range version showing significant sales improvement. The brand is positioned to compete directly with established luxury brands [9][49]. - The company is leveraging its partnership with Huawei to enhance its product offerings and market positioning, aiming to capture a larger share of the high-end sedan market [30]. 4. Extreme Fox Brand Expansion - The Extreme Fox brand is expanding its sales channels and enhancing its online presence, resulting in a doubling of store numbers and significant sales growth. The brand's sales reached over 13,500 units in May 2025, reflecting a year-on-year increase of 200% [10][19]. - The company is set to launch multiple new models, which are expected to further boost sales and market penetration [10]. 5. Market Positioning and Future Outlook - The company is well-positioned to capture market share in the high-end electric vehicle segment, with a focus on improving brand recognition and product offerings. The high-end sedan market is identified as a blue ocean opportunity with limited competition [55]. - The company anticipates that the Xiangjie brand will be able to replace some of the market share held by traditional luxury brands due to its growing recognition and competitive product offerings [55].

Core Insights - Harmony Smart Travel announced that by June 20, 2025, its charging network will connect to 1,000 Huawei supercharging stations and 4,093 supercharging stations overall [1] Company Summary - Harmony Smart Travel is expanding its charging network significantly, indicating a strong commitment to enhancing electric vehicle infrastructure [1] - The integration of Huawei supercharging stations suggests a strategic partnership that may enhance the company's market position in the electric vehicle sector [1] Industry Summary - The growth of the charging network reflects the increasing demand for electric vehicle infrastructure, which is crucial for the adoption of electric vehicles [1] - The establishment of a large number of supercharging stations is likely to contribute to the overall development of the electric vehicle ecosystem in the region [1]

Core Viewpoint - Huawei is restructuring its automotive sales channels by establishing independent sales networks for its various brands, including Zhijie, Shangjie, and Xiangjie, to enhance brand identity and user engagement [4][10]. Group 1: Sales Channel Development - Huawei is expanding its automotive sales channels by creating dedicated networks for its brands, with a focus on rapid entry and simplified dealership requirements [6][9]. - The new sales channels will include user centers that provide comprehensive services, including sales, delivery, and after-sales support, similar to traditional 4S dealerships [7][8]. - As of November last year, Huawei had established over 990 experience centers and 330 user centers across the country, with plans to add more dedicated user centers for specific brands [9]. Group 2: Brand Positioning and Market Strategy - The shift to independent sales networks allows each brand to develop a distinct identity and target specific user demographics through tailored marketing strategies [9][10]. - The introduction of the "Fifth Realm" Shangjie brand is part of Huawei's strategy to diversify its offerings and enhance its market presence [9]. - Huawei's approach is evolving from a dominant role to a more collaborative model with partners, focusing on technology empowerment and strategic guidance [12]. Group 3: Challenges and Adjustments - The launch of the Zhijie S7 faced delays due to production and supply chain issues, highlighting the complexities of scaling operations with larger manufacturers [10][11]. - Sales for the Xiangjie S9 have fluctuated significantly, indicating challenges in meeting initial development costs and market demand [11]. - Huawei is adjusting its revenue-sharing models with partners based on performance and market conditions, reflecting a dynamic approach to collaboration [11].

Core Viewpoint - The article discusses the upcoming launch of the "尚界" model from the Hongmeng Zhixing family, which is expected to be a competitively priced electric vehicle targeting the mainstream market segment of 150,000 to 250,000 yuan, potentially undercutting competitors like the BYD Song PLUS [1][3][14]. Group 1: Product Features and Specifications - The "尚界" model is designed to be a mid-size to large SUV, with an estimated length between 4.8 to 4.9 meters and a wheelbase around 2.9 meters, making it larger than the Wanjie M5 [6][14]. - The vehicle will feature a closed front grille, laser radar for advanced driving assistance, and a sporty design with a贯穿式尾灯组 [9][8]. - It is expected to offer a range of configurations, including a basic version of Huawei's ADS without laser radar, and a potential range-extended version [11][8]. Group 2: Market Positioning and Competition - The "尚界" model aims to penetrate the competitive 150,000 to 250,000 yuan market, directly competing with popular models like the BYD Song PLUS DM-i, which starts at 145,800 yuan and has monthly sales exceeding 30,000 units [15][18]. - The article highlights the intense competition in the new energy vehicle market, with other rivals including the Deep Blue S7 and Xpeng G6 also targeting similar price points [15][16]. - The market share for new energy vehicles in the 150,000 to 250,000 yuan range is projected to remain around 26.6%, indicating a significant opportunity for the "尚界" model [19][20]. Group 3: Strategic Implications and Future Outlook - The company has committed 6 billion yuan and assembled a dedicated team of over 5,000 personnel to support the launch of the "尚界" model, indicating strong strategic investment [22]. - The collaboration with Huawei is seen as a critical factor for success, potentially allowing the "尚界" to leverage advanced technology and brand recognition in the smart vehicle market [28]. - The article suggests that if the "尚界" can successfully enter the market, it may significantly disrupt traditional automotive competitors, particularly in the luxury segment where prices have recently dropped [24][26].

Core Viewpoint - Huawei is restructuring its automotive sales channels by establishing independent sales networks for its brands, including Zhijie and Shangjie, to enhance brand identity and user engagement [2][7]. Group 1: Sales Channel Development - Huawei is expanding its automotive sales network, with Zhijie and Shangjie brands set to have their own dedicated sales channels, similar to the AITO Wenjie user center [2][4]. - The current focus is on quickly onboarding dealers without complex renovations, allowing existing authorized dealers to expand their operations [4][8]. - As of November last year, Huawei had established over 990 experience centers and 330 user centers nationwide, with plans to add user centers dedicated to single-brand sales [6]. Group 2: Brand Positioning and Market Strategy - The transition from shared stores to brand-specific networks allows each brand to create distinct identities and target specific user demographics through tailored marketing strategies [7]. - The "Hongmeng Intelligent Driving" sales network is categorized into experience centers and user centers, with the latter providing comprehensive sales and after-sales services [5][6]. - The introduction of the "Fifth Realm" Shangjie, with its first model expected to launch later this year, reflects Huawei's commitment to expanding its automotive offerings [6]. Group 3: Partnership Dynamics and Challenges - Huawei's automotive strategy has evolved from a dominant role to a more collaborative approach with partners, as seen in the shift from the "1.0" model with AITO to the "2.0" model with other manufacturers [8][9]. - Challenges have arisen in the production and supply chain, particularly with the launch of the Zhijie S7, leading to renegotiations of profit-sharing agreements with partners like BAIC [9]. - The financial viability of partnerships is under scrutiny, as seen with BAIC's concerns over the profitability of the Xiangjie brand, which has seen fluctuating sales figures [9].