EHang to Build New Autonomous Aerial Vehicle Production Facility in Guangdong
The local government will invest 42 million yuan or roughly $6 million for the facility.
EHang Holdings Ltd. (Nasdaq: EH) announced Monday that it will construct a new autonomous aerial vehicle (AAV)
production facility in Yunfu city in Guangdong, China.
In a statement today, the Chinese AAV technology platform said that the plan for the new facility is to have an initial annual capacity of 600 units. The goal is to establish a research and development center for air mobility solutions and a training center for operations and technical talents. According to EHang, the local government will invest 42 million yuan or roughly $6 million for the facility.
"The increasing market demands and commercialization of AAVs are driving us to expand our production and upgrade our manufacturing capabilities," Huazhi Hu, the chairman, and chief executive officer of EHang said in a statement today.
He added, "The EHang Yunfu facility serves as an expansion of our existing facility and will support the growth of our air mobility business."
By midday Thursday, the stock in EHang was trading 1% lower at $7.94 per American depositary share. Shares of EHang are down nearly 27% year-to-date.
EHang also said that it anticipates to "bring strong vitality to the local high tech communities and create hundreds of new jobs for local talents."