CHENGDU — The latest Mercedes-Benz GLE SUV made its global debut at this year's Chengdu Motor Show, with an assisted-driving system jointly developed with Chinese autonomous driving technology provider Momenta. The new long-wheelbase GLE is also set to later adopt Momenta's R7 World Model, a self-improving physical artificial intelligence engine. Mercedes-Benz first invested in the Chinese startup in 2017, and their cooperation has expanded in recent years. For decades, foreign automakers followed a fixed business pattern: introducing overseas-developed models and technologies into China and making targeted adaptations for local consumers. However, as software and AI gain growing importance in modern automobiles, this industry dynamic has undergone a notable shift. Other global automakers such as BMW, Volkswagen and Toyota are also partnering with Chinese companies in the field, as China's fast-moving auto market produces a new crop of tech suppliers. A new supplier landscape The booming and fast-evolving Chinese market serves as the core driver of this transformation. Once largely confined to vehicles priced above 300,000 yuan ($44,610), advanced assisted-driving features have gradually spread into the 150,000 to 200,000-yuan vehicle segment and, in some instances, even lower-tier markets. At the just-concluded Chengdu Motor Show 2026, the 29th edition, in Southwest China's Sichuan province, urban navigation assistance and automated parking — two of the most capable such functions — have become standard features on newly launched models. The shift is taking place as new-energy vehicles take a larger share of China's auto market. According to the China Association of Automobile Manufacturers, NEV sales reached 1.56 million units in July this year, accounting for more than 60 percent of monthly new vehicle sales for the first time. As NEVs spread across more price segments, Chinese automakers seek to differentiate their products through smart-driving functions. This rapid adoption, paired with fierce competition among carmakers,