Seres, the Chinese automaker behind the Aito brand, will take the lead in defining, designing, marketing and selling its vehicles, with Huawei shifting to a supporting role, according to Chinese tech outlet Huxiu. The change, announced on September 15, marks a significant adjustment to a seven-year partnership that had made Huawei the dominant force behind Aito's success.
Under the new arrangement, Aito's product definition, design, brand marketing, channel retail and service systems will be led by Seres, with Huawei's terminal business group providing support. Existing user benefits remain unchanged, and Aito stays a core member of Huawei's Harmony Intelligent Mobility Alliance (HIMA), which also includes the Zhijie, Xiangjie, Zunjie and Shangjie brands. The other four brands' cooperation models are unchanged.
The announcement sent Seres' A-share price down 5.09% to 45.46 yuan on September 15, erasing nearly 4 billion yuan (about $563 million) in market value in a single day, according to Huxiu. Its Hong Kong-listed shares fell to a record low of 34.06 HKD. Investors interpreted the move as Huawei 'kicking Aito out of the five circles,' a characterization Huxiu calls inaccurate but telling.
A shift in control, not a split
For years, Huawei dictated Aito's product definition, styling, marketing language and showroom layouts, while Seres focused on manufacturing. This division of labor earned Seres the label of a 'contract manufacturer.' The new 'exclusive and dedicated' retail strategy means Aito's sales channels will be independent, with some stores previously under the HIMA banner now dedicated solely to Aito vehicles.
Seres has long sought this change. At an investor meeting on August 19, management confirmed the brand would pursue exclusive retail operations. The company's investor relations record from that date states, 'No Aito without Huawei, no Aito without Yinwang, no Aito without CATL,' underscoring the brand's reliance on Huawei's technology.
The adjustment carries short-term risks. Some consumers have already questioned whether they would have bought the Aito M9 without Huawei's involvement, and resale values could be affected. But Seres is also diversifying. A new brand, AIVA, uses ByteDance's Doubao large language model, Yuanrong Qixing's autonomous driving tech and CATL batteries, and is being developed independently of Huawei. The company is also accelerating overseas expansion, targeting German certification standards with a long-term goal of one-third of sales from abroad.
Financial realities behind the change
Seres' dependence on Huawei has been costly. From 2022 to 2025, payments to Huawei's ecosystem grew from 5.802 billion yuan to 56.054 billion yuan (about $817 million to $7.9 billion), climbing from 14.5% to 33.78% of total procurement. Over four years, these payments totaled 111.335 billion yuan (about $15.7 billion), equivalent to 29.29% of revenue, while non-recurring net profit was just 1.482 billion yuan. In 2025, with Aito selling 430,000 vehicles, each sale sent roughly 130,000 yuan (about $18,300) to Huawei, while Seres absorbed raw material costs, price war concessions and inventory write-downs.
Huawei's own business has thrived. Its Qiankun ADAS (advanced driver assistance) had been installed in over 1.9 million vehicles by July 2026, and its Yinwang subsidiary reported 2025 revenue of 45.018 billion yuan (about $6.3 billion), up 72.1% year-on-year, with its first full-year profit. Industry comparisons cited by Huxiu suggest a 200,000-yuan (about $28,200) vehicle yields only about 3,000 yuan (about $423) in net profit for the manufacturer, while a high-level ADAS package can generate 30,000 to 50,000 yuan (about $4,200 to $7,000) per vehicle.
The shift also reflects Huawei's expanding partnerships. Once reluctant automakers, including SAIC, which famously rejected Huawei's autonomous driving cooperation in 2021, have now joined the HIMA fold. SAIC's Shangjie brand is one of five now working with Huawei, alongside Seres, Chery, BAIC and JAC. As Huxiu notes, 'The pot is the same, but now five pairs of chopsticks reach in.'
