WUHAN, China, July 9, 2025 /PRNewswire/ -- China Automotive Systems, Inc. (Nasdaq: CAAS) ("CAAS" or the "Company"), a leading power steering components and systems supplier in China, today announced that its L2+ standard electro-hydraulic steering system, a power steering system used in heavy-duty vehicles that utilizes both hydraulic power and electronic controls to assist with steering, has entered mass production in China. Following the iRCB 's outstanding performance and cost-efficiency demonstrated in the first month of mass production, new orders in July were placed by customers setting a new record in the power steering industry for the ramp up to mass production.
The second-generation iRCB (intelligent electro-hydraulic circulating ball power steering) developed by the Company's subsidiary, Shashi Jiulong, has officially entered mass production in China. Since the project was launched in September 2024, it took only 8 months to complete the entire process for design, verification and mass production, demonstrating CAAS' efficiency in collaboration with its customers.
As China's first iRCB compatible with L2+assisted driving, this system utilizes cutting-edge electro-hydraulic control technology to achieve internationally leading benchmarks in steering accuracy and response speed. By optimizing energy consumption, it is projected to reduce operational costs by nearly RMB 36,000 per vehicle annually, delivering substantial economic value to users.
Mr. Qizhou Wu, the Chief Executive Officer of CAAS, commented, "We continue to pioneer proprietary steering technologies that deliver cutting-edge solutions for our customers. Our iRCB products are on track to break new sales records for intelligent driving systems in China in 2025, thanks to their superior performance and substantial cost efficiencies. China is now arguably the world's most innovative automotive market. As we advance the industrialization of technology-packed steering solutions, we are playing a key role in accelerating the auto industry's transition toward autonomous driving. We look forward to further expanding our intelligent steering portfolio and strengthening our leadership in this rapidly evolving market."
About China Automotive Systems, Inc.
Based in Hubei Province, the People's Republic of China, China Automotive Systems, Inc. is a leading supplier of power steering components and systems to the Chinese automotive industry, operating through its sixteen Sino-foreign joint ventures and wholly owned subsidiaries. The Company offers a full range of steering system parts for passenger automobiles and commercial vehicles. The Company currently offers four separate series of power steering with an annual production capacity of over 8 million sets of steering gears, columns and steering hoses. Its customer base is comprised of leading auto manufacturers, such as China FAW Group, Corp., Dongfeng Auto Group Co., Ltd., BYD Auto Company Limited, Beiqi Foton Motor Co., Ltd. and Chery Automobile Co., Ltd. in China, and Stellantis N.V. and Ford Motor Company in North America. For more information, please visit: http://www.caasauto.com.
Forward-Looking Statements
This press release contains statements that are "forward-looking statements" as defined under the Private Securities Litigation Reform Act of 1995. Forward-looking statements represent our estimates and assumptions only as of the date of this press release. Our actual results may differ materially from the results described in or anticipated by our forward-looking statements due to certain risks and uncertainties. As a result, the Company's actual results could differ materially from those contained in these forward-looking statements due to a number of factors, including those described under the heading "Risk Factors" in the Company's Annual Report on Form 10-K as filed with the Securities and Exchange Commission on March 28, 2025, and in documents subsequently filed by the Company from time to time with the Securities and Exchange Commission. Any of these factors and other factors beyond our control, could have an adverse effect on the overall business environment, cause uncertainties in the regions where we conduct business, cause our business to suffer in ways that we cannot predict, and materially and adversely impact our business, financial condition and results of operations. A prolonged disruption or any further unforeseen delay in our operations of the manufacturing, delivery and assembly process within any of our production facilities could continue to result in delays in the shipment of products to our customers, increased costs and reduced revenue. We expressly disclaim any duty to provide updates to any forward-looking statements made in this press release, whether as a result of new information, future events or otherwise.
For further information, please contact:
Jie Li
Chief Financial Officer
China Automotive Systems, Inc.
jieli@chl.com.cn
Kevin Theiss
Awaken Advisors
+1-212-521-4050
Kevin@awakenlab.com