Seres has formally taken the driver's seat for its Aito brand, assuming control over product definition, design, marketing, channel retail, and after-sales service, according to a September 15 announcement from Harmony Intelligent Mobility Alliance (HIMA). Huawei will continue to provide technology support, but the restructuring marks a significant shift in one of China's most prominent EV partnerships. Investors reacted negatively, sending Seres' A-shares and H-shares down on the same day, as reported by Chinese outlet Huxiu.
The move has been in the making for months. In late May, Seres renamed its subsidiary Lantec Technology to Saidou Technology, hinting at a new brand independent of HIMA. Seres has since built its own product planning, sales channels, and marketing teams, and is co-developing products with ByteDance's Doubao and Volcano Engine. ByteDance has clarified it does not build cars or hold equity in Saidou, but provides large-model and smart-cockpit technologies.
Why Seres is taking back control
Seres' financials tell the story. After partnering with Huawei in 2023, Aito sales surged, and Seres' revenue jumped from 35.8 billion yuan (about $5.0 billion) in 2023 to 145.2 billion yuan (about $20.4 billion) in 2024, turning a net loss into a profit of 5.9 billion yuan (about $836 million). However, in 2025, growth slowed: Aito deliveries rose 10.1% to 426,000 units, and Seres' revenue grew 13.7% to 165.1 billion yuan (about $23.2 billion), but net profit stayed nearly flat at 5.96 billion yuan (about $839 million). Selling expenses jumped 26.1% and R&D spending rose 42.4%, squeezing margins.
The strain became more evident in the first half of 2026, when Seres reported a net loss of 1.7 billion yuan (about $240 million), compared with a profit of 2.9 billion yuan (about $413 million) a year earlier. Operating cash flow swung from positive 14.4 billion yuan (about $2.0 billion) to negative 12.4 billion yuan (about $1.7 billion). The company attributed the decline to product mix changes, the iteration cycle of its main models, and insufficient scale effects.
Huawei's bottleneck and the 'graduation mechanism'
Seres' decision also reflects a broader challenge for HIMA, which now includes five brands: Aito (Seres), Zhijie (Chery), Xiangjie (BAIC), Zunjie (JAC), and Shangjie (SAIC). While HIMA has expanded, sales have not kept pace. In the first eight months of 2026, HIMA sold 236,600 vehicles, with Aito contributing 162,700, nearly 70%. In August, HIMA sold 42,100 units, of which Aito accounted for 22,600.
Huawei's deep involvement in product, marketing, and sales makes it a bottleneck, as its resources—engineering hours, showroom space, and consumer attention—are finite. The restructuring frees Huawei to focus on the other four brands, which remain under its full leadership. Analysts see this as a 'graduation mechanism' for HIMA partners, allowing them to eventually operate more independently while retaining Huawei's technology.
For Seres, the shift is a test of whether it can maintain its momentum while controlling costs. The company has already spent 2.5 billion yuan (about $352 million) to buy Aito trademarks and patents, and invested 11.5 billion yuan (about $1.6 billion) for a 10% stake in Huawei's smart-car unit Yinwang. Aito is not leaving Huawei, but it is trying to become more self-reliant.
