Chinese electric vehicle (EV) brand HiPhi is making a comeback after being on hiatus for more than a year. According to local media reports, an investor from Lebanon has acquired the brand and is gearing up for a resumption of operations.
The investor’s investment has sparked anticipation for HiPhi’s return to the market. The brand’s factory in Yancheng, Jiangsu province, is currently undergoing an environmental assessment in preparation for production. The factory will focus on producing the original models with an annual capacity of 150,000 units.
In addition to preparing the factory for production, HiPhi is also taking steps to address outstanding issues with customers and employees. The brand is refunding deposits to customers who did not receive their cars and is recalling former employees to join the revived operations. However, returning employees will have to accept a pay cut, with salaries expected to be around 20 percent lower than before.
A new entity, Jiangsu HiPhi Co Ltd, has been established with a registered capital of approximately $143 million. The company is primarily owned by EV Electra Ltd, a Lebanese company founded by businessman Jihad Mohammad. EV Electra, which describes itself as the first EV manufacturer in Lebanon and the Arab world, will contribute $100 million to the venture.
HiPhi was originally founded in 2017 to target China’s high-end EV market with models priced between RMB 500,000 and RMB 800,000. However, the brand faced challenges in early 2024 when it announced a six-month shutdown following financial difficulties. The company subsequently laid off most of its employees and struggled to secure new funding.
With the new investment and ownership, HiPhi is poised for a fresh start in the EV market. The brand’s revival under new leadership brings hope for its future success and a resurgence in the competitive electric vehicle industry. Stay tuned for more updates on HiPhi’s comeback and its reentry into the market.
