Understanding the Market | Zhejiang Shibao rises over 10% SBW has been designated by mainstream automakers, and intelligence may become a competitive advantage for automakers

ZHEJIANG SHIBAO rose over 10%, as of the time of writing, up 11.25%, reported at HKD 5.34, with a transaction volume of HKD 231 million. In terms of news, ZHEJIANG SHIBAO recently stated on the investor interaction platform that the company's steer-by-wire (SBW) system has secured several mainstream automaker clients, and project development is underway, with production scheduled according to client timelines. The company's official website shows that SBW supports L3 and above autonomous driving and can facilitate integrated chassis coordination control. Additionally, the company stated that it is still focused on the primary supply business of automotive steering systems while closely monitoring opportunities for extending the industrial chain. Furthermore, recently, the Ministry of Industry and Information Technology and seven other departments issued the "Automobile Industry Stabilization Growth Work Plan (2025-2026)," emphasizing the promotion of intelligent connected vehicle access and road testing pilots, conditionally approving the production access of L3 level models, and promoting the improvement of laws and regulations related to road traffic safety and insurance. Founder Securities released a research report stating that the policy relaxation for L3 models, combined with the subsequent introduction of details regarding responsibility allocation and parameters for intelligent connected vehicles, is expected to reshape the competitive logic of the automotive industry, shifting from a purely price war to competition based on value dimensions, with intelligence becoming an important differentiation advantage for car manufacturers