Chinese handset manufacturer Huawei Technologies Co. has formed a partnership with China UnionPay to offer a mobile payment system called "Huawei Pay," as the country continues to see an influx of options in the market.

The Wall Street Journal reported that Huawei tested the service in September, but that it was limited to a number of shops and restaurants at that time. The companhy now plans to expand the service to its handset users across China. The company is the largest in the country based on smartphones shipped, according to the Journal.

Huawei's entry into mobile payments comes at a time when Apple Pay debuted recently, and it must also compete with mainstays Alibaba and Tencent. Additionally, Samsung soon will release Samsung Pay in China and Hong Kong.