(Yicai Global) March 26 -- Shares of Xiaomi and Great Wall Motor surged as the two companies did no contradict a Reuters report that said China’s biggest smartphone maker plans to make electric vehicles using Great Wall’s assembly line.

Shanghai-based Xiaomi [HKG: 1810] climbed 6.3 percent today to close at HKD25.40 (USD3.30), while Baoding-based Great Wall [SHA: 601613] shot up 10 percent to CNY30.95 (USD4.70).

The pair issued an ambiguous statement after the Reuters report, saying “all information is subject to announcement,” according to The Paper.

Reuters, which cited sources with direct knowledge of the matter, said the two companies plan to unveil their EV partnership as soon as next week, with Xiaomi aiming to roll out its first own-brand EV model in 2023.

Xiaomi has decided to make electric cars but the exact nature of such a project has yet to be been determined, with changes still likely, media reports said on Feb. 19, adding that Xiaomi’s founder Lei Jun may lead the firm’s car-making venture.

Xiaomi has paid attention to the EV sector’s development and has been carrying out continuous evaluation and research, but its study has not yet reached the formal stage of project approval, it said on Feb. 21.

Editor: Peter Thomas