blockchain automotive supply chainFTSE / NASDAQ NEWS 

Auto Giant UMVA China Partners with Guardtime’s Aletheia for a Blockchain Automotive Supply Chain

China’s largest auto industrial supply service platform, UMVA-China has partnered with Aletheia, the Chinese arm of Guardtime, to develop enterprise level blockchain automotive supply chain solutions.

Many of the world’s largest manufacturers including Ford, Volkswagen, Mercedes-Benz, Volvo, Toyota and Chevy are clients of UMVA-China, for which it provides a comprehensive service that includes supply chain finance, cloud logistics, big data and supply chain intelligence.

UMVA-China is a joint venture of Gongqing Journey Fund, Fuerda, Huaxiang Electronics, Daylight Group and other leading auto parts companies, and plays a major role in connecting the automobile industry chain through its five major industrial sub-platforms and six service centres.  Li Zhijun, CEO of UMVA said:

“Blockchain addresses an urgent need for the automotive supply chain in China, helping reduce fraud and providing end to end transparency for everyone in the value chain.” 

A report by the U.S. Department of Commerce, revealed that China continues to be the world’s largest vehicle market with a year-on-year growth of 9% from 2015, it’s website states:
“The Chinese Central Government expects that China’s automobile output will reach 30 million units by 2020 and 35 million by 2025”
According to an announcement on Guardtime‘s website, the partnership aims to implement blockchain-based track and trace functionality for China’s industrial automotive supply chain, providing electronic contracting, end to end transparency for the provenance of automotive parts, accelerated customs processing (ACP), contract compliance and assured customer financing.  Jian Tan, CEO of Aletheia said:

“We are thrilled to be partnering with UMVA, we think the large and growing automotive supply chain industry is a perfect use case for blockchain technology,”

The auto industry giant entered into its strategic alliance with Aletheia (Guardtime China) on August 28th in Ningbo, a major port and industrial hub in east China’s Zhejiang province, that lies south of Shanghai.

blockchain automotive supply chain
UMVA-China partners with Guardtime’s Aletheia for a Blockchain Automotive Supply Chain

Aletheia will begin integrating Guardtime’s KSI Blockchain and Resonance technologies with an initial focus to enable financing institutions to provide faster financing, create a transparent customs process, streamline stock and supply for automotive parts, as well as enable precision recall.

The partnership to utilise the nascent technology within China’s automotive industry, comes just months after the country’s President Xi Jinping endorsed blockchain as part of its technology revolution, and is in line with ‘Made in China 2025’, an initiative to upgrade to higher value-added advanced manufacturing, with the auto industry being one of ten focus sectors.

The governments ‘Made in China 2025’ initiative, also aims to sell one million units of domestically produced pure electric and plug-in hybrid cars in China by 2020.

Blockchain automotive supply chain
Blockchain automotive supply chain solution to meet ‘Made in China’ initiative goals [Image: China’s electric car sharing service]
Guardtime and UMVA-China are just one of many enterprise partnerships aimed at integrating blockchain technology into the automotive industry, Europe’s largest car buyer, Auto1 partnered with Deutsche Bank and Allianz to build a blockchain car financing platform.  Meanwhile BMW, General Motors, Ford and Renault joined IBM and others to form The Mobility Open Blockchain Initiative (MOBI).As per a previous BCTech Report, Guardtime has also launched a UK NHS blockchain platform, offering 30 million patients instant access to their primary care information using a smartphone, with the potential to save the UK at least £800 million.

Related posts