MIIT Launches Payment Term Reforms with Media Oversight; BMW Cuts Thousands of Jobs; Huayu Auto Appoints New CEO; Qualcomm Secures 10-Year Chip Deal

The Ministry of Industry and Information Technology (MIIT) recently convened a media symposium to brief on progress made in urging major automakers to shorten payment terms for suppliers and appointed 20 journalists as the first batch of “Automotive Industry Payment Term Supervisors.” Since June 2025, MIIT has facilitated 17 key automakers in implementing the *Regulations on Ensuring Payment of Accounts Payable to Small and Medium-sized Enterprises*, issuing a “60-day payment term commitment,” and guided the China Association of Automobile Manufacturers (CAAM) to release a related payment initiative. However, a few automakers still engage in practices that effectively extend payment terms. Going forward, MIIT will accelerate the development of the *Guidelines for Supplier Payment Practices by Automotive Enterprises* and strengthen supervision, rectification efforts, and enforcement. On July 29, BMW announced plans to cut approximately 8,000 jobs in Germany by the end of 2027—about 5% of its global workforce—primarily affecting administrative and R&D functions, with production roles unaffected. This cost-reduction measure responds to pressures including declining sales in China, U.S. tariffs, and high operating costs in Europe. BMW had previously lowered its full-year profit outlook and intends to streamline its management structure. Also on July 29, Huayu Automotive Systems Co., Ltd. announced the appointment of Tao Hailong as General Manager and nominated him as a candidate for non-executive director. With over 30 years of experience within SAIC Motor Corporation, Mr. Tao previously held positions at SAIC Volkswagen, SAIC Motor Passenger Vehicle Company, and Shanghai Automotive Transmission Co., Ltd., accumulating extensive expertise in vehicle manufacturing, quality control, and automotive component operations. His return to lead Huayu Automotive is part of SAIC Group’s rotational assignment strategy between its vehicle-making and component divisions. Qualcomm Technologies, Inc. announced the same day a 10-year strategic collaboration agreement with BMW Group to supply computing chips—including the Snapdragon® Automotive Premium Platform SoC and dedicated AI accelerators—for BMW’s next-generation digital cockpits and ADAS/autonomous driving systems. The two companies previously achieved mass production of the Snapdragon Ride™ Pilot system on the BMW iX3, the first model based on BMW’s Neue Klasse platform. Bosch announced that its next-generation AI-powered intelligent cockpit has been selected by a leading domestic automaker and is expected to enter mass production in Q3 2027. Built on the Harness security framework featuring edge-cloud synergy, the cockpit emphasizes seamless scenario integration across the entire user journey and robust AI command validation to address issues like “AI hallucination,” enabling proactive in-cabin services and remote off-vehicle connectivity. Tuopu Group released its 2026 interim earnings forecast, projecting net profit attributable to shareholders of RMB 246 million to RMB 300 million, representing an 82.56% to 122.64% year-over-year increase; adjusted net profit is expected to reach RMB 128 million to RMB 154 million, up 30.04% to 56.46% year-over-year. The growth is primarily driven by expanded core business scale, enhanced profitability, and gains from changes in the fair value of equity investments.