China’s Baidu edges closer to first production EV after Geely venture Jidu gets nod from Beijing

Baidu’s Jiyue 01 smart SUV included in a new catalogue of EV models compiled by China’s Ministry of Industry and Information Technology
The SUV will be built by Volvo Cars owner Geely, Baidu’s EV partner

Electric & new energy vehicles

Daniel Renin Shanghai

Published: 6:00am, 16 Aug 2023

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Chinese search and artificial intelligence (AI) giant Baidu has taken a substantial step towards tapping the country’s fast-growing electric vehicle (EV) sector, after it received a permit from regulators to assemble its first production model.

Jiyue 01, a smart sport-utility vehicle (SUV) developed by the Beijing-based technology firm, has been included in a new catalogue of EV models compiled by China’s Ministry of Industry and Information Technology. The SUV will be built by Zhejiang Geely Holding Group, Baidu’s EV partner, according to the catalogue.

Any new model that makes the ministry’s list can technically start production. Two industry sources with knowledge of the approval process told the Post that Baidu made huge efforts to convince the regulators that as a technology company it is capable of building high-quality smart EVs to support growth in the industry.

“Baidu has accumulated abundant technologies and experiences in autonomous driving and digital cockpit systems, but it has not established itself as a strong carmaker,” said Cao Hua, a partner at Shanghai-based private-equity firm Unity Asset Management. “It is not unusual for the regulators to take a cautious stance in the matter.”

A Geely dealership in Shanghai. Jiyue 01 will be built by the Zhejiang-based carmaker. Photo: Reuters

Baidu said earlier this year that its first vehicle would roll off the production line in the fourth quarter of 2023. Last year, the company announced its first production model would be powered by Nvidia chips.

The EV will have a high level of autonomous driving capabilities, on par with Level 4 (L4). Global standards body SAE International defines L4 as autonomous driving that does not require human intervention in most circumstances, but the driver still has the option to take control of the car. L5, or full driving automation, means a vehicle does not need human intervention under any circumstances.

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Baidu is the first Chinese company to announce its intention to build cars with L4 capabilities. Moreover, it launched Apollo, the world’s largest open-source autonomous driving platform, in 2017, becoming a pioneer in driverless car technology.

Baidu and Geely, which is based in China’s eastern Zhejiang province and owns Volvo Cars, set up a joint venture, Jidu Auto, in January 2021 to focus on developing intelligent EVs. Jidu is 55 per cent owned by Baidu and 45 per cent by Geely.

Geely said in a statement on Tuesday that Jiyue 01 will redefine the concept of smart mobility and offer a comfortable self-driving experience. Geely added that a charging network to cater to Jiyue users will also be built.

The Robo-01, Baidu’s limited-edition first model, is displayed during a media preview before its debut, in Beijing in June last year. Photo: Reuters

In December last year, Baidu offered a limited edition of its first model – known as Robo-01 at that time – for 399,800 yuan (US$54,884) to customers, and said several thousand orders had been received. The company has yet to announce prices for Jiyue 01.

Chinese smartphone maker Xiaomi also plans to explore mainland China’s EV market, with its first production model expected in the first half of 2024. EV sales on the mainland will rise by 55 per cent this year to 8.8 million units, according to a forecast UBS analyst Paul Gong made in April.

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