Hefei Municipal Government and EHang partner with $100 Million support in Low-Altitude Economy

EHang Hold­ings has entered into an agree­ment with the Hefei Munic­i­pal Gov­ern­ment to devel­op a low-alti­tude econ­o­my ecosys­tem in Hefei City, Anhui Province. EHang will par­tic­i­pate in Hefei’s Full-Space Unmanned Sys­tem Inte­grat­ed Appli­ca­tion Demon­stra­tion Project and launch reg­u­lar oper­a­tions with unmanned aer­i­al vehi­cles (UAVs) in Luo­gang Cen­tral Park in Hefei.

The Hefei Munic­i­pal Gov­ern­ment intends to pro­vide EHang sup­port in the form of pur­chase orders, for no less than 100 units of the EH216 series UAVs, and financ­ing sup­port, amount­ing to a total of US$100 mil­lion.

The Hefei Munic­i­pal Gov­ern­ment will also pro­vide EHang with com­pre­hen­sive sup­port in util­is­ing land space, infra­struc­ture devel­op­ment, and spe­cialised oper­a­tional sub­si­dies. EHang intends to set up its region­al head­quar­ters for East­ern Chi­na in Hefei to pro­mote UAV pro­duc­tion, sales, and oper­a­tions and accel­er­ate UAM adop­tion in the area.

As a pilot area for the nation­al low-alti­tude air­space man­age­ment reform, Anhui Province is active­ly build­ing a low-alti­tude indus­tri­al clus­ter. Recent­ly, EHang’s flag­ship prod­uct, the EH216‑S, has achieved a sig­nif­i­cant mile­stone by obtain­ing the world’s first type cer­tifi­cate for an unmanned eVTOL air­craft issued by the Civ­il Avi­a­tion Admin­is­tra­tion of Chi­na.

Yun­feng Luo, deputy sec­re­tary and may­or of the Hefei Munic­i­pal Com­mit­tee, stat­ed: “EHang’s inno­v­a­tive UAV tech­nol­o­gy holds tremen­dous poten­tial across a mul­ti­tude of sec­tors such as tourism, trans­porta­tion, logis­tics, health­care, emer­gency response and urban man­age­ment.

“This part­ner­ship marks a mean­ing­ful mile­stone, and we are com­mit­ted to work­ing close­ly with EHang to pro­pel Hefei’s low-alti­tude econ­o­my for­ward. Togeth­er, we will build a mod­ern, com­pre­hen­sive trans­porta­tion sys­tem for the future with this new chap­ter in our coop­er­a­tion and look for­ward to devel­op­ing excel­lence.”

Huazhi Hu, chair­man and CEO of EHang, added: “Hefei has con­sis­tent­ly pri­ori­tised the devel­op­ment of unmanned tech­nolo­gies and boasts exten­sive expe­ri­ence in pro­mot­ing emerg­ing tech­nol­o­gy com­pa­nies.

“In col­lab­o­ra­tion with the Hefei Munic­i­pal Gov­ern­ment, we are com­mit­ted to advanc­ing safe, autonomous, and eco-friend­ly UAM solu­tions in Hefei as well as expand­ing com­mer­cial oper­a­tions with the EH216‑S to more cities.

“We have full con­fi­dence that this part­ner­ship will expe­dite the imple­men­ta­tion of low-alti­tude indus­tries with sig­nif­i­cant con­tri­bu­tions to the high-qual­i­ty devel­op­ment of low-alti­tude econ­o­my in Chi­na.”

Ear­li­er this month, Nas­daq approved the tem­po­rary sus­pen­sion of EHang’s Amer­i­can deposi­tary shares (ADSs), in antic­i­pa­tion of an announce­ment con­cern­ing a very sig­nif­i­cant devel­op­ment regard­ing EHang’s busi­ness oper­a­tions.

EHang vol­un­tar­i­ly sus­pends Nas­daq trad­ing, pend­ing ‘very sig­nif­i­cant devel­op­ment’