The monopolist of China’s ride-sharing market, which has fallen on the receiving end of a regulatory probe since last year, is looking to branch out into the burgeoning NEV sector
News broke yesterday that Didi (DIDI: Nasdaq), a top ride-hailing platform in China, is building a R&D team in Beijing and the southern boomtown Shenzhen to make its own cars.
An industry insider, who declined to be named, told Yicai.com, a domestic financial and business news provider, that he received an invitation from headhunters tasked with hiring R&D personnel for Didi.
According to the person familiar with the matter, Didi offers an annual salary package of between CNY 500,000 (USD 78,616) and CNY 800,000, and the pay could even rise, with additional employee stock option, if the candidate aces the interview.
As of press time, Didi hasn’t replied to media enquiries for comment.
Didi reportedly could announce car-making project in 2022 and aims for delivery in June 2023. Codenamed “Da Vinci,” Didi’s car venture currently boasts around 1,700 employees and is based in Beijing’s Shunyi District.
Media revealed that Didi’s car-making arm will roll out two vehicle models meant for different applications. C1, a compact electric car priced around CNY 150,000, will be targeting the consumer market, while D1 will mainly be produced for Huaxiaozhu (Chinese: 花小猪), a ride-sharing firm owned by Didi.
Didi is partnering with OEMs to make its cars. Public information showed that BYD will produce the D1 model for DIDI, while C1 might be manufactured by Guoji Zhijun Automotive (Chinese: 国机智骏) , a firm rumored to be in acquisition talks with Didi. BYD and CATL (Chinese: 宁德时代) will also supply the battery packs.
China’s New Energy Vehicle (NEV) industry is getting more crowded, with established traditional auto makers such as Geely (Chinses: 吉利), BYD , and Great Wall Motor (Chinses: 长城汽车) joining the competition with the likes of Nio, XPeng and Li Auto, nicknamed China’s NEV-making “New Force.”
Tech giants including Xiaomi, Huawei and Baidu have also announced their car-making plans.