HIMA Deliveries Fall 50.84% Year on Year in October

Deliveries at Huawei-led Harmony Intelligent Mobility Alliance (HIMA) declined by more than 50% year on year in October, bringing the alliance's cumulative deliveries for the first 10 months below the corresponding period last year for the first time. HIMA delivered 33,537 vehicles during October, representing a 50.84% year-on-year decrease and a 10.54% decline compared with September, according to figures released on Sunday. The latest performance marked the alliance's fifth consecutive month of year-on-year delivery declines and its fourth consecutive month of sequential declines.

October deliveries also reached their lowest monthly level since April, while the year-on-year contraction widened considerably from the 29.15% decline recorded in September. Between January and October, HIMA delivered 400,766 vehicles, down 3.91% compared with the same period last year. This represents a reversal from the first nine months, when cumulative deliveries were still 5.27% higher year on year. The shift indicates that the alliance's delivery performance weakened sufficiently during October to push its year-to-date total into negative territory.

Despite the delivery decline, HIMA stated in its announcement that the average transaction price across its vehicle lineup exceeded 400,000 yuan ($59,580). The alliance also reported that its cumulative deliveries had surpassed 1.6 million vehicles. However, the announcement did not disclose individual October delivery figures for its different brands or vehicle models, leaving the performance of specific nameplates undisclosed.

The decline followed a series of product launches and commercial activities across the alliance. In September, HIMA introduced the Luxeed RX and an updated Luxeed R7, opened reservations for the Stelato V8, and commenced pre-sales of the updated Aito M8. These developments represented several product-related initiatives across the alliance's brands ahead of October's delivery results.

At the same time, Huawei has been adjusting its cooperation arrangements with Seres (HKEX: 9927) concerning the Aito brand. Aito was the first brand established under HIMA and remains one of the alliance's important contributors to sales. On September 15, the companies announced that Aito would explore a new cooperation model within the HIMA framework, with Seres taking the lead and Huawei providing support. The revised arrangement covers product definition, design, marketing, retail and service operations.

Aito will continue operating within the HIMA framework despite the changes to its cooperation structure. On September 30, the companies subsequently signed a new five-year agreement to formalize their upgraded partnership. The latest cooperation changes do not extend to Luxeed, Stelato, Maextro and Shangjie, which remain outside the scope of this particular restructuring. Consequently, the revised arrangement specifically concerns the relationship between Huawei and Seres around Aito rather than representing a broader change to the cooperation models of all HIMA brands.

Industry Impact & Outlook

HIMA's October performance highlights a significant deterioration in its delivery momentum, with the cumulative year-to-date growth recorded through September reversing into a decline by the end of October. The simultaneous expansion of its product portfolio and adjustment of the Aito cooperation structure represent important developments in the alliance's commercial and operational framework. Seres' expanded leadership role in Aito's product, marketing, retail and service activities also marks a change in the responsibilities shared between the two companies. However, without brand-level delivery figures, the individual contributions of HIMA's different marques to October's decline cannot be determined from the available announcement.

Frequently Asked Questions

How many vehicles did HIMA deliver in October?
Harmony Intelligent Mobility Alliance delivered 33,537 vehicles in October, representing a 50.84% decline compared with the same month last year. Deliveries also decreased 10.54% from September, marking the alliance's fifth consecutive month of year-on-year declines and fourth consecutive month of sequential declines. October's delivery volume was the lowest recorded since April. The alliance did not disclose a breakdown of the monthly figures by individual brand or vehicle model in its announcement.

What were HIMA's cumulative deliveries between January and October?
HIMA delivered a cumulative 400,766 vehicles during the first 10 months of the year, representing a 3.91% year-on-year decline. This marked a reversal from the first nine months, when cumulative deliveries remained 5.27% higher than the corresponding period last year. The October performance therefore pushed the alliance's year-to-date deliveries below the previous year's level for the first time during the year. The alliance also reported that its lifetime cumulative deliveries had exceeded 1.6 million vehicles.

What is the average transaction price of HIMA vehicles?
HIMA reported that the average transaction price across its vehicle lineup exceeded 400,000 yuan ($59,580), according to its October announcement. The figure provides an indication of the transaction value across the alliance's overall portfolio. However, the announcement did not provide individual transaction prices, brand-level sales figures or model-specific delivery breakdowns. Consequently, the reported average cannot be used to determine the individual pricing or sales performance of specific vehicles within the alliance's lineup.

What changes are Huawei and Seres making to their Aito partnership?
Huawei and Seres are exploring a revised cooperation model under which Seres will lead Aito's operations within the HIMA framework, with support from Huawei. Announced on September 15, the arrangement covers product definition, design, marketing, retail and service operations. The companies subsequently signed a new five-year agreement on September 30. Aito will remain part of HIMA, meaning the revised partnership changes the companies' cooperation structure without removing the brand from the alliance.

Which HIMA brands are excluded from the revised Huawei-Seres cooperation arrangement?
Luxeed, Stelato, Maextro and Shangjie are outside the scope of the latest changes to the Huawei-Seres cooperation model. The restructuring specifically concerns Aito, which was HIMA's first brand and remains an important contributor to the alliance's sales. While Aito will continue operating within HIMA under the revised arrangement, the other four brands are not included in this particular round of cooperation changes. The announcement therefore does not indicate an equivalent restructuring across the entire alliance.