BEIJING, Sept 16 (Reuters) - Two of Xpeng AeroHT's

flying cars collided mid-flight during rehearsals for the

upcoming Changchun Air Show on Tuesday, and one suffered damage

and caught fire during landing, the company said in a statement

to Reuters.

People on-site were safe, and the cause of the incident is

being investigated, the statement added.

Chinese carmaker Xpeng ( XPEV ) invested in AeroHT in 2020 and the

affiliate debuted its eVOTL flying car at the CES show in Las

Vegas last year. It started building its flying car assembly

line in Guangzhou in October last year that it said will

eventually be able to produce up to 10,000 flying cars annually.

Xpeng's ( XPEV ) U.S. shares fell 1% in pre-market trading.