EHang says U.S. tariffs won’t affect its operations

Published 04/04/2025, 14:42
EHang says U.S. tariffs won’t affect its operations

GUANGZHOU, China - EHang Holdings Limited (NASDAQ:EH), a global leader in the urban air mobility (UAM) sector with a market capitalization of $1.11 billion, announced today that the recent U.S. tariff changes on certain Chinese goods will not materially impact the company’s business. Despite market volatility and a temporary effect on its share price, EHang clarified that its operations remain unaffected.

EHang emphasized that it does not export its autonomous aerial vehicles (AAVs) or related products to the U.S. market. Additionally, the company’s manufacturing processes do not depend on U.S.-origin components, including U.S.-restricted semiconductors and aerospace parts. With a healthy current ratio of 2.89 and more cash than debt on its balance sheet, EHang maintains a secure and independent supply chain, safeguarding against operational disruptions from trade policy shifts.

In 2024, the company generated 95% of its revenue from China, focusing its core business on the Chinese UAM market. With no exports to the U.S., the tariff adjustments do not impact EHang’s existing revenue streams. The company’s impressive 288.46% revenue growth and strong gross profit margin of 61.37% demonstrate its successful market strategy. According to InvestingPro analysis, which provides comprehensive insights through its Pro Research Reports covering 1,400+ stocks, EHang’s localized production and growing international presence in Asia and Europe further support its business continuity and long-term growth prospects.

EHang will continue to monitor international trade developments and adapt its strategies accordingly. With a year-to-date return of 20.36% and analysts forecasting continued sales growth, the company remains dedicated to providing innovative, safe, and sustainable UAM solutions globally. InvestingPro subscribers can access 12 additional key insights about EHang’s financial health and market position.

EHang’s commitment to urban air mobility is underscored by its achievements, including the EH216-S, which received the world’s first type certificate, production certificate, and standard airworthiness certificate for pilotless human-carrying electric vertical takeoff and landing (eVTOL) aircraft from the Civil Aviation Administration of China (CAAC). In 2025, EH216-S operators were granted the first Air Operator Certificates for civil human-carrying pilotless aerial vehicles by the CAAC.

This announcement is based on a press release statement from EHang Holdings Limited.

In other recent news, EHang Holdings Ltd reported a remarkable 190% increase in revenue for the fourth quarter of 2024, reaching RMB 164.3 million, exceeding forecasts. The company’s earnings per share (EPS) improved significantly to -0.33, outperforming the expected -0.83. EHang also achieved its first positive adjusted net income for the year, marking a significant milestone in its financial journey. The company has set an ambitious revenue target of RMB 900 million for 2025, anticipating nearly double its 2024 revenue. Analysts from firms like Goldman Sachs and Morgan Stanley have taken note of EHang’s strong market demand and strategic initiatives, including its focus on production capacity expansion and global market strategy. EHang’s expansion efforts include establishing production bases in various regions of China and pursuing international certification for its unmanned passenger-carrying aircraft. The company is also actively engaging with civil aviation authorities worldwide to promote airworthiness certification. EHang’s diversification into logistics and emergency services is expected to contribute to future revenue growth.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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