The Beijing-based company has been backed by a list of prominent investors, and is among several players to test autonomous vehicle systems for hauling freight at domestic harbors.
BYD partners with US autonomous driving startup Nuro to make electric robocars for goods delivery services.
The incident potentially delivers another blow to the company’s reputation following a high-profile accident involving a Nio car last year.
The launch marks a first milestone for the world’s largest maker of consumer drones in its push into the Chinese EV space.
Xpeng is joining a long list of Chinese tech companies facing a challenging quarter with production cuts and profits squeezed.
The partnership is the latest example of driverless tech firms rushing to work with more consumer-facing companies.
Huawei’s rotating chairman said the company is now seeking support and understanding as it “is susceptible to making mistakes” as a newcomer.
Jidu will use the proceeds on research and development as the company aims to unveil a concept car in April.
Xpeng Motors led a investment in Zvision Technologies, a Chinese startup that makes lidar sensors for self-driving cars.
The investment in Horizon reflects Chinese automakers’ growing anxiety about the ongoing semiconductor shortage.