Chinese companies EHang, developer of urban air mobility (UAM) technology, and car maker Changan, have agreed to collaborate on the research, development, manufacturing, sales and operation of flying cars.

This includes electric vertical take-off and landing (eVTOL) aircraft as well as flying cars.

Leveraging EHang’s product development capabilities in aerial vehicles and low-altitude flight management technology and Changan’s production and manufacturing foundation and market resources in the automotive sector, the parties will explore the establishment of a joint venture focused on future mobility technologies.

As one of China’s top four automotive groups, Changan has capabilities in R&D, manufacturing infrastructure, supply chain and sales channel resources. EHang is a pioneer in the global UAM sector, including R&D, design, mass production, certifications and large-scale safe operation for pilotless passenger-carrying eVTOL aircraft.

Under this agreement, the two parties will leverage their strengths and resources to develop flying cars with future-oriented design and market competitiveness. The collaboration covers R&D, production, market promotion, channel development, user experience and after-sales service, while integrating low-altitude economy applications to accelerate the commercialisation of flying cars and pilotless eVTOL products.

The Ministry of Industry & Information Technology and other departments in China want to encourage the research and development of flying cars and product validation, and the exploration of commercial applications, with a focus on developing unmanned, electric and intelligent low-altitude equipment.

As a new type of aircraft for the development of the low-altitude industry, eVTOLs have vast development potential. According to data by the Civil Aviation Administration of China, the scale of China’s low-altitude economy exceeded 500 billion yuan in 2023, and it is expected to reach two trillion yuan by 2030, with the market potentially growing to 3.5 trillion yuan by 2035.

“The cooperation between Changan Automobile and EHang in the development of flying cars is of great significance, allowing both parties to leverage their respective strengths,” said Huarong Zhu, chairman of Changan Automobile. “Over the next five years, Changan plans to invest more than 20 billion yuan in the low-altitude economy sector to accelerate the development of the flying car industry. Over the next decade, we will invest more than 100 billion yuan to explore integrated mobility across land, sea and air. “

Huazhi Hu, CEO of EHang (www.ehang.com), added: “During this rapid development stage of the low-altitude economy, EHang remains committed to collaborating with upstream and downstream partners to enhance the pilotless eVTOL industrial chain and its ecosystem. We look forward to more cross-industry cooperation with mature domestic automakers, leveraging each other’s strengths and resources to create complementary and synergistic effects, continuously enriching and developing eVTOL products that cater to diverse scenario demands and customers. This strategic partnership with Changan, aimed at jointly advancing the R&D, manufacturing, sales and operation of next-generation flying cars, will further enrich the ecosystem of the low-altitude economy and offer consumers more travel options.”

Changan (www.globalchangan.com) is one of the four major Chinese automobile groups, with 40 years of car manufacturing experience. It has 14 manufacturing bases and 34 plants worldwide, and employs more than 18,000 engineers and technicians from 31 countries around the world. The firm has established an R&D network of ten cities in six countries in Chongqing, Beijing and Shanghai in China, Dingzhou in Hebei, Hefei in Anhui, Turin in Italy, Yokohama in Japan, Birmingham in the UK, Detroit in the USA, and Munich in Germany.