China Automotive Systems Awarded First South American EPS Contract

Core Viewpoint - China Automotive Systems, Inc. (CAAS) has secured a contract for its Column-Assist Electric Power Steering (C-EPS) project from a leading South American automotive manufacturer, marking a significant step in its international expansion strategy and aiming to achieve ambitious goals by 2030 [1][6] Group 1: Project Details - The C-EPS project will support a new vehicle platform that includes several gasoline and hybrid passenger vehicle models, with an expected annual sales volume exceeding 300,000 units and mass production anticipated to begin in early 2028 [2] - The project signifies a transition for Brazil Henglong from single-function mechanical steering products to advanced electric power steering systems, enhancing operational capabilities in the region [5] Group 2: Market Position and Strategy - Henglong has established a strong presence in the South American market, particularly in Brazil, where it holds over 30% market share in the steering system sector, leveraging advanced technologies and quality control [4] - The strategic plan includes building a comprehensive operational and support network in Brazil to promote electric power steering, which will involve new manufacturing capacity, engineering collaboration, and after-sales support [5] Group 3: Company Background - CAAS is a leading supplier of power steering components and systems in China, with an annual production capacity exceeding 8 million sets of steering gears, columns, and hoses, serving major automotive manufacturers both domestically and internationally [6]