Multiple home appliance companies venture into car manufacturing, expanding the smart new energy vehicle sector

The highly competitive new energy vehicle sector welcomes a new wave of players. From March 12 to 15, the “AI Technology, Smarter Future” theme of the 2026 China Appliance and Consumer Electronics Expo (AWE2026) was held in Shanghai, showcasing the latest developments driven by artificial intelligence in home appliances and consumer electronics, focusing on digital intelligence, greenization, and integration.

To many visitors’ surprise, at this annual home appliance and consumer electronics event, smart new energy vehicles became the new “main attraction.” Domestic companies like Zhunmi, Chuangwei, and Tantu Technology showcased their latest concept cars at the center of their booths. Industry experts say that although competition is intensifying, the penetration rate of new energy vehicles continues to rise. Chinese home appliance companies with strong funding and R&D capabilities are actively crossing over into car manufacturing, creating a new “people-car-home” ecosystem. The future competitive landscape of the smart new energy vehicle industry is worth watching.

Several home appliance companies are crossing into the automotive sector

As a car brand under Zhunmi Technology, Xingkong Project made its first appearance at AWE2026 with an independent booth. At the site, three products were on display, including its global debut of the SUV concept car Nebula Next 01X. Staff revealed that Xingkong Project’s models are sport-oriented, with exterior designs that will not change much from the future mass-produced versions. Regarding pricing, Zhunmi’s cars are targeted to compete with Xiaomi Auto, with expected prices between 600,000 and 700,000 yuan.

As a new player in the home appliance industry, Zhunmi Technology is still a newcomer to car manufacturing. The company was founded in Suzhou in 2017, initially gaining experience through OEM production for Xiaomi, then launching its own brand and expanding the market for smart cleaning appliances overseas. Currently, Zhunmi’s main products include wireless vacuum cleaners, robotic vacuum cleaners, smart floor washers, and high-speed blow dryers. According to IDC’s latest report, in 2025, among the top five global cleaning robot manufacturers, Stone Technology ranks first, Ecovacs second, and Zhunmi third. CEO Yu Hao recently revealed that Zhunmi Group’s revenue in 2025 will exceed 40 billion yuan, with profits over 5.5 billion yuan.

Yu Hao believes that previously, Chinese automakers focused on cost-performance and mid-range markets, with little breakthrough in the ultra-luxury segment. This market situation creates space for Zhunmi Technology to pursue “displaced competition.” According to their plan, in the core “three electric” systems—powertrain and energy systems—Zhunmi’s Xingkong Project aims to achieve comprehensive technological breakthroughs from motors to batteries. The concept car is expected to enter mass production by 2027.

Sources indicate that Xingkong Project is currently recruiting for numerous automotive-related positions, including cabin system engineers and vehicle body directors. Meanwhile, Zhunmi’s car-making approach is gradually becoming clearer. Unlike other domestic new entrants, Zhunmi has adopted a “light assets + platform-based” strategy: establishing a subsidiary for vehicle architecture, collaborating externally to share risks, encouraging internal competition, and running multiple brands on the same platform. Production qualifications and hardware resources are secured through external partnerships to reduce heavy capital investment.

In addition to Zhunmi, many other home appliance companies participating in the expo have introduced new vehicles developed through their R&D efforts. Tantu Technology’s new energy towable RV NEXUS has built an integrated “light—storage—charging” energy system, equipped with L3 autonomous towing parking systems, providing smart solutions for outdoor travel. Moreover, giants like Haier and Chuangwei are no longer content with producing traditional appliances like refrigerators, TVs, and air conditioners. Instead, they are turning to smart cockpits, vehicle-home connectivity, and in-vehicle ecosystems as new strategic breakthroughs. Notably, Haier previously made a strategic investment in the leading domestic automotive content platform, Autohome.

“People-Car-Home” Ecosystem as the Future Direction

According to the China Association of Automobile Manufacturers (CAAM), from January to February 2026, China’s new energy vehicle production and sales reached 1.735 million and 1.71 million units respectively, down 8.8% and 6.9% year-on-year. However, new energy vehicle sales accounted for 41.2% of total new vehicle sales.

Cui Dongshu, Secretary-General of the Passenger Car Market Branch of the China Automobile Circulation Association, stated that 2026 will see a clear “stock game” in China’s auto market. Car consumption has entered a high-end cycle; consumers are less sensitive to price cuts and more attentive to the intrinsic value of vehicles. According to a survey by the Passenger Car Market Branch, over 30% of consumers plan to spend more than 300,000 yuan on their next car.

Industry experts say that the scale of the new energy vehicle industry far exceeds that of the home appliance segment. Home appliance companies see the rising penetration of new energy vehicles as a future market opportunity. Leveraging their technological and financial advantages from the smart home appliance sector, they are actively crossing into the EV space. However, competition in the new energy vehicle industry is fierce. After intense early-stage battles, many crossover companies and new entrants have failed, and the road ahead for home appliance companies is not smooth.

Xpeng Motors Chairman He Xiaopeng noted that in 2017, there were over a hundred new car-making startups in China, but now only four remain. “This is a normal process, ultimately benefiting consumers,” he said. The entry of new companies and the淘汰 process will help ensure the long-term healthy development of the industry.

Senior automotive analyst Mei Songlin commented that home appliance companies should not underestimate or blindly overestimate their chances in car-making. Success depends on whether they can convert their advantages into high-quality smart new energy vehicles and services. In the future, if they can truly realize “car controls home,” home connectivity, and data intercommunication, they can capture a large user base of intelligent EV consumers.