- Hesai will break ground on its first overseas project by the end of this year, with production targeted for 2026, according to the Financial Times.
- Hesai said last week that it had a multi-year exclusive supply partnership with a top European automotive OEM -- reportedly Mercedes-Benz.
Hesai Group (NASDAQ: HSAI), China's largest LiDAR maker, plans to open its first factory overseas next year as customers urge it to avoid geopolitical tensions, according to a report in the Financial Times yesterday.
"On the heels of the global supply program, we hope to accelerate our overseas production …which is an inescapable step toward our global ambitions," Hesai CFO Andrew Fan told the Financial Times.
He said Hesai will break ground on its first overseas project by the end of this year, with the goal of starting production in 2026.
The plant will create "hundreds of jobs locally", Fan said, but declined to disclose the project's location, according to the report.
"Our clients who are hoping to diffuse the risks have found it a wise approach," Fan said, adding that a diversified supply chain can also hedge against potential logistical disruptions.
Hesai said in a statement on March 12 that it had entered into a landmark multi-year exclusive supply partnership with a top European automotive OEM (Original Equipment Manufacturer), without mentioning the automaker by name.
The LiDAR maker will supply high-performance ultra long-range LiDAR for the automaker's next-generation vehicle platforms, covering a number of models in its fuel and new energy-vehicle (NEV) arrays, according to the statement.
According to a Reuters report on March 11, German luxury carmaker Mercedes-Benz will use Hesai's LiDAR sensors to develop smart-driving cars for the global market.
This is the first time a foreign automaker has attempted to apply this Chinese-made technology to models sold outside of China, the Reuters report noted.
As of February, Hesai had partnered with 22 domestic and foreign automakers to supply LiDARs to 120 models, according to the company.
Hesai saw non-GAAP net income of about RMB 13.7 million ($1.9 million) and operating cash flow of RMB 63 million in 2024, making it the world's first publicly traded LiDAR maker to post a full year of profitability and positive operating cash flow, according to financial results it announced on March 10 after US trading hours.
The company's LiDAR deliveries reached 501,900 units in 2024, a 126 percent year-on-year increase.
Hesai guided for LiDAR shipments of 1.2 million to 1.5 million units in 2025, up 139 percent to 200 percent year-on-year.
Of these, ADAS (Advanced Driver Assistance System) LiDARs will account for more than 80 percent, with a target of 200,000 robotic LiDAR shipments.
Hesai to supply Mercedes-Benz with automotive LiDARs, report says
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