EHang (亿航) (Nasdaq: EH), a leading eVTOL pioneer, announced yesterday that it had signed a strategic cooperation agreement with the Management Committee of Guangzhou Airport Economic Zone, the Administrative Committee of Guangzhou Economic and Technological Development District, and state-run automobile manufacturer GAC Group (广汽集团, 601238.SH/HK: 02238).
According to their agreement, all parties will leverage their respective strengths and resources in a concerted drive to create a robust “low-altitude industrial ecosystem.”
“As a local enterprise in Guangzhou, we are delighted to harness EHang’s leading advantages in passenger-carrying UAVs to partner with the Management Committee of Guangzhou Airport Economic Zone, the Administrative Committee of Guangzhou Economic and Technological Development District, and GAC Group to propel the high-quality development of Guangzhou’s low-altitude economy,” said Hu Huazhi, founder, chairman and CEO of EHang.
EH216-S passenger-carrying UAV takes a demo flight in the Jiulong Lake Park, Huangpu district, Guangzhou.
The signing of the agreement came as Guangzhou looks to cement its leadership in the so-called “trillion-dollar low-altitude aerial economy” and spur its development, said a press release posted on the company’s website.
Under the agreement, EHang and GAC Group will join forces in such areas as R&D, production and sales to target the low-altitude aerial market.
Unlock economic opportunities
China has set its sights on gradually freeing up its low-altitude airspace to unlock economic opportunities in such areas as urban air mobility, commercial delivery, sightseeing and tourism.
Manufacturers of drone, eVTOL and helicopter, EHang included, have been lured by the commercial prospects with a move into this sector.
GAC Group’s flying car GOVE
Under its agreement with EHang, GAC Group aims to capitalize on its manufacturing prowess and supply chain management expertise to accelerate the production, adoption and expansion of EHang’s passenger-carrying eVTOL model, namely, EH216-S.
EHang crossed a milestone last year when it obtained the world’s first type certificate for its two-seat aircraft.
For its part, EHang will draw upon strengths in building passenger-carrying UAVs to assist GAC Group with production of its futuristic flying cars model GOVE.
According to the statement from EHang, the joint effort will be dedicated to fostering the low-altitude aerial industry in Guangzhou, injecting vigor into this fast-growing sector.