Chongqing - Lei Jianmei, Chief Expert at CAERI and Vice General Manager of the Information and Intelligence Business Unit, told Bridging News on March 4 that Chongqing’s automakers, including Changan Auto and Seres, are set to lead a world-class intelligent connected new energy vehicle (NEV) industry cluster. This cluster will drive growth in chips, software, and other sectors, positioning NEVs for global leadership.

This aligns with a suggestion submitted by the Chongqing delegation at the third session of the 14th National People's Congress on March 3. The proposal highlights Chongqing’s role as a hub for automotive R&D and manufacturing nationwide, calling for efforts to address gaps in automotive electronics, high-end equipment, software, and AI while overcoming challenges related to car-grade chips and core operating systems.

Lei Jianmei, CAERI Chief Expert and Vice General Manager of the Information and Intelligence Business Unit. (Graphic/Li Jiao)

Strong leaders necessary for automotive chain

Lei noted that Chongqing’s key asset for its NEV cluster is having industry leaders like Changan Auto and Seres to spearhead the entire supply chain. "Apart from real estate, the automotive chain is the longest and requires strong leaders," she said, emphasizing that these companies are nationally renowned and boost the industry with high-quality products.

Both Changan Auto and Seres emphasize smart features in their vehicles. Lei said NEV intelligence centers on smart cockpits and intelligent driving, with AI key for user interaction. Although in-car AI is still nascent, she expects transformative human-machine interaction within one to two years.

The push for NEV intelligence is reshaping the relationship between automakers and suppliers, highlighting the importance of software and chip providers. Close collaboration with Chinese tech firms like Huawei is becoming crucial, as seen in Seres' AITO M9 and Changan Auto's Avatr and Deepal models.

Lei said that while traditional models kept tech suppliers and automakers separate, the industry is now becoming more integrated as automakers engage directly with tech providers and even develop their own chips. This shift highlights the need for traditional manufacturing, high-tech software, and chip companies near automakers.

Intelligent robotic arms perform welding operations at the Changan Auto factory in Liangjiang New Area. (Photo/Wang Jiaxi)

Chongqing parts suppliers eye growth as automakers expand overseas

The demand for smart tech suppliers is growing in Chongqing's NEV cluster, but Lei acknowledged a software and chip development gap within the local automotive industry.

Lei explained that this gap is due to Chongqing's historical strength in traditional mechanical manufacturing, which laid a solid foundation for the automotive industry, but the city has been slower to advance in smart technology development.

Another challenge is automotive software development. Lei explained that, as the core of smart vehicles, the software must meet strict functional and security standards, support extensive operating systems and applications, and balance rich features with safety—especially when some models contain over a billion lines of code.

Lei noted that Chongqing is attracting software firms and promoting industry coordination to bridge this gap. For example, Liangjiang New Area Industrial Fund and others recently partnered with Qianli Technology—a startup in AI, smart cockpits, and intelligent driving—to invest 1.5 billion yuan (USD 207.29 million) in a limited partnership, advancing intelligent driving development.

Chongqing's NEV cluster must grow beyond the local market to national and global levels to achieve world-class status. Lei stated that with Changan Auto and Seres leading the way, high-quality local components, software, and chips can supply automakers across China and be exported internationally, enhancing the industry's global influence.

As Chongqing car brands expand globally, parts suppliers and service companies like CAERI also have promising overseas opportunities. Automakers setting up plants abroad often partner with established supply chains, opening doors for breakthroughs for Chongqing's suppliers and service firms.

Lei cited CAERI as an example, explaining that as automobiles expand into global markets, CAERI's testing standards will gain greater international recognition. This growing reputation, in turn, will help drive Chongqing’s NEV products onto the global stage.