Brazil and China Strengthen Cooperation on Civil Aviation Airworthiness: EHang’s EH216-S Pilotless eVTOL Obtains Experimental Flight Authorization Certificate from Brazil’s National Civil Aviation Agency

Rhea-AI Summary

EHang Holdings (Nasdaq: EH) has obtained an Experimental Flight Authorization Certificate (CAVE) from Brazil's National Civil Aviation Agency (ANAC) for its EH216-S pilotless electric Vertical Take-Off and Landing (eVTOL) aircraft system. This authorization allows EHang and its local partner Gohobby to conduct test and trial flights in Brazil, demonstrating the aircraft's intelligent flight technology and cluster management system.

The certification follows a thorough review process and aligns with recent cooperation agreements between Brazil and China to strengthen their partnership in civil aviation. EHang plans to collaborate with ANAC and Brazil's Airspace Control Department (DECEA) to advance research on Concepts of Operations and Unmanned Aircraft Traffic Management (UTM) systems for safe UAM deployments in Brazil.

Positive

• Obtained Experimental Flight Authorization Certificate (CAVE) from Brazil's ANAC for EH216-S eVTOL
• Authorized to conduct test and trial flights in Brazil
• Collaboration with Brazilian aviation authorities for research and development of UTM systems
• Previously obtained Type Certificate, Production Certificate, and Standard Certificate of Airworthiness from CAAC
• Strengthened cooperation between Brazil and China in civil aviation airworthiness certification

Negative

• None.

Tech Expert

The EH216-S obtaining an Experimental Flight Authorization Certificate (CAVE) in Brazil marks a significant milestone for EHang's international expansion. This development allows for test and trial flights in Brazil, potentially accelerating the adoption of Urban Air Mobility (UAM) in South America's largest market. The collaboration between EHang, ANAC and DECEA for Concepts of Operations and Unmanned Aircraft Traffic Management (UTM) systems demonstrates a forward-thinking approach to integrating eVTOLs into existing airspace.

The bilateral agreements between China and Brazil on civil aviation cooperation, particularly in airworthiness certification, could streamline future approvals for EHang's products. This may give EHang a competitive advantage in the Brazilian market over competitors without such facilitated approval processes. However, investors should note that while promising, experimental authorization is just a step towards full commercial operations, which still face regulatory and infrastructure challenges.

Market Research Analyst

EHang's progress in Brazil signifies a strategic move into a key emerging market for Urban Air Mobility. Brazil, with its large urban populations and challenging ground transportation infrastructure, presents a potentially lucrative opportunity for eVTOL deployment. The company's collaboration with local partner Gohobby suggests a thoughtful approach to market entry, leveraging local expertise.

Investors should consider the long-term potential of the Brazilian market, balanced against the time and resources required for full market penetration. The strengthened cooperation between China and Brazil in civil aviation could accelerate EHang's path to commercialization, potentially giving it a first-mover advantage in this market. However, success will depend on factors such as regulatory progress, infrastructure development and public acceptance of this new transportation mode in Brazil.

Financial Analyst

While the news is positive for EHang's long-term prospects, investors should temper short-term expectations. The CAVE authorization is a preliminary step and does not guarantee immediate revenue generation. EHang's ability to capitalize on this opportunity will depend on successful test flights, regulatory approvals and market development efforts, all of which require significant time and capital investment.

The company's first-mover status in obtaining Type Certificate and other certifications in China could translate to a competitive edge in international markets. However, financial benefits may take time to materialize. Investors should monitor cash burn rates, R&D expenses and progress towards commercial operations in Brazil. The potential market size and EHang's positioning should be weighed against the company's financial health and ability to fund international expansion while pursuing opportunities in other markets simultaneously.

GUANGZHOU, China, Sept. 16, 2024 (GLOBE NEWSWIRE) -- EHang Holdings Limited (“EHang” or the “Company”) (Nasdaq: EH), the world’s leading Urban Air Mobility (“UAM”) technology platform company, announced that its EH216-S pilotless electric Vertical Take-Off and Landing (“eVTOL”) aircraft system has obtained an Experimental Flight Authorization Certificate (“CAVE”) from Brazil’s National Civil Aviation Agency (“ANAC”). The Company plans to conduct test and trial flights in Brazil to demonstrate the EH216-S aircraft's cutting-edge intelligent flight technology and cluster management system.

(Picture: Teams from EHang and Gohobby pose with EH216-S pilotless eVTOL)

Following an exhaustive and diligent process comprising of thorough technical documentation review and aircraft and ground control station inspection, ANAC granted the CAVE for EH216-S in Brazil. Under ANAC’s CAVE framework, EHang and its local partner and operator Gohobby will conduct comprehensive EH216-S test and trial flight campaigns in Brazil in close collaboration with ANAC and Brazil’s Airspace Control Department (“DECEA”). These initiatives aim to advance research and development of Concepts of Operations and Unmanned Aircraft Traffic Management (“UTM”) systems and services, ensuring safe and efficient UAM deployments across Brazil.

In reaffirming its strong commitment on promoting and supporting international cooperation and development of Advanced Air Mobility worldwide, EHang is in close collaboration with various civil aviation authorities around the world. Together, the Company and these civil aviation authorities aim to progress with airworthiness certification of EH216-S across other countries, sharing the cutting-edge technology and expertise for safe pilotless eVTOL aircraft operations.

EHang has obtained the first Type Certificate, Production Certificate and Standard Certificate of Airworthiness for its EH216-S in the global eVTOL industry. These certificates are granted by Civil Aviation Administration of China (“CAAC”), affirming that the type design, production procedures and quality management of EH216-S align with relevant regulations with official acknowledgement from the CAAC for commercial operations.

(Picture: ANAC and CAAC officials during the signature of bilateral civil aviation agreements)

Brazil and China have signed cooperation agreements to strengthen the partnership between the two countries in civil aviation, advancing safety, efficiency and sustainability in airworthiness certification processes. In August 2024, CAAC and ANAC subscribed a revised version of airworthiness implementation procedures for the mutual validation of aircraft, facilitating the approval process for civil aviation products as well as its import and export between China and Brazil. Both parties also agreed upon a Cooperation Roadmap, to promote and deepen cooperation in airworthiness certification, aiming to deepen exchanges and cooperation in new technology aircraft certification, airworthiness certification legislation, and airworthiness certification training.

As for the certification of EH216-S pilotless eVTOL in Brazil, ANAC and CAAC are currently in discussion for understanding the regulatory model adopted by the state of design and applicable regulatory frameworks for the operation of this new technology aircraft system in Brazil.

(Picture: Mr. Huazhi Hu, EHang’s Founder, Chairman, and CEO with Mr. Roberto Honorato, ANAC’s Head of Airworthiness Department, and his team at EHang facilities)

EHang has maintained close communication with ANAC on EH216-S pilotless eVTOL specifications, its certification process, and applicable regulatory requirements for its operation in Brazil. In November 2023, a delegation of ANAC, joined by CAAC, visited EHang facilities in Guangzhou, China for a first-hand look at the Company and its UAM technology platform. During the visit, EHang’s Founder, Chairman and CEO, Mr. Huazhi Hu, presented the EH216-S, its Type Certificate, and unparalleled operational experience to the delegation, while discussing how EHang could support ANAC’s vision and plans for developing Advanced Air Mobility in Brazil.

Ms. Victoria Xiang, Chief Operating Officer of EHang Europe and Latin America, said, “We are delighted to have obtained the Experimental Flight Authorization Certificate from Brazil’s National Civil Aviation Agency, and look forward to conducting the first EH216-S pilotless eVTOL flight in the country in the near future. EHang will continue to work closely with ANAC, as well as other civil aviation authorities around the world, to develop and deploy safe UAM around EHang’s certified EH216-S passenger-carrying pilotless eVTOL with accessibility for all.”

About EHang

EHang (Nasdaq: EH) is the world’s leading urban air mobility (“UAM”) technology platform company. Our mission is to enable safe, autonomous, and eco-friendly air mobility accessible to everyone. EHang provides customers in various industries with unmanned aerial vehicle (“UAV”) systems and solutions: air mobility (including passenger transportation and logistics), smart city management, and aerial media solutions. EHang’s flagship product EH216-S has obtained the world’s first type certificate, production certificate and standard airworthiness certificate for pilotless eVTOL issued by the Civil Aviation Administration of China. As the forerunner of cutting-edge UAV technologies and commercial solutions in the global UAM industry, EHang continues to explore the boundaries of the sky to make flying technologies benefit our life in smart cities. For more information, please visit www.ehang.com.

Safe Harbor Statement
This press release contains statements that may constitute “forward-looking” statements pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “aims,” “future,” “intends,” “plans,” “believes,” “estimates,” “likely to” and similar statements. Statements that are not historical facts, including statements about management’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to those relating to certifications, our expectations regarding demand for, and market acceptance of, our products and solutions and the commercialization of UAM services, our relationships with strategic partners, and current litigation and potential litigation involving us. Management has based these forward-looking statements on its current expectations, assumptions, estimates and projections. While they believe these expectations, assumptions, estimates and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond management’s control. These statements involve risks and uncertainties that may cause EHang’s actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements.

Media Contact: pr@ehang.com

Investor Contact: ir@ehang.com  

Photos accompanying this announcement are available at

https://www.globenewswire.com/NewsRoom/AttachmentNg/8122b883-aedf-4a93-abde-6873321bab49

https://www.globenewswire.com/NewsRoom/AttachmentNg/21fe393c-71c0-4dfb-a2a9-8c38d997c995

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FAQ

What certification did EHang (EH) receive from Brazil's aviation authority?

EHang (EH) received an Experimental Flight Authorization Certificate (CAVE) from Brazil's National Civil Aviation Agency (ANAC) for its EH216-S pilotless eVTOL aircraft system.

What will EHang (EH) be able to do with the CAVE in Brazil?

With the CAVE, EHang (EH) and its local partner Gohobby will be able to conduct test and trial flights of the EH216-S eVTOL in Brazil, demonstrating its intelligent flight technology and cluster management system.

How does the Brazil certification relate to EHang's (EH) previous certifications?

The Brazil certification complements EHang's (EH) previous achievements, including the Type Certificate, Production Certificate, and Standard Certificate of Airworthiness granted by the Civil Aviation Administration of China (CAAC) for the EH216-S.

What is the significance of the cooperation between Brazil and China for EHang (EH)?

The cooperation between Brazil and China in civil aviation airworthiness certification facilitates the approval process for civil aviation products like EHang's (EH) eVTOL, potentially easing its entry into the Brazilian market.