WUHAN, China, Dec. 17, 2018 /PRNewswire/ -- China Automotive Systems, Inc. (Nasdaq: CAAS) ("CAAS" or the "Company"), a leading power steering components and systems supplier in China, today announced it has reached a series of milestones for electronic power steering ("EPS") and mechanic steering gears ("MSG") in different international markets in 2018.
CAAS has won a bid from the Indian automobile power house, Mahindra & Mahindra ("Mahindra"), for dual-pinion electric power steering ("DP-EPS") products. In addition, the Company successfully secured exclusive rights to develop all future Mahindra DP-EPS steering modules. With mass production beginning in April 2020, the annual order will start with approximately 70,000 units for Mahindra.
In Europe, CAAS won a bid for Fiat Automobiles S.p.A. ("Fiat")'s 500 series electric vehicles. The mass production of CAAS's MSG product for Fiat Europe is expected to start in April 2020. After supplying North American and South American OEM markets, this order marks the first time that CAAS's product entered into the European OEM market.
Mr. Qizhou Wu, Chief Executive Officer of CAAS, commented, "We are thrilled that we are expanding into the European OEM markets where we had no presence in the past. While our relationship with Fiat in Brazil and China is long-standing, we have been targeting its European market as well. Having won quality accolades from and grown shipments to Jeep, Dodge RAM and Ford in North America, our reputation in the global markets is rising. Our initial sales into Europe start with our basic products, but we are confident that more and more of our advanced products will be recognized over time."
"We are also very proud that our EPS products entered into Mahindra's global sourcing network for their vehicles based upon DP structure. India is a major growth market for automobiles with its rising middle class. We treasure the opportunity to be part of this exciting market and look forward to growing with Mahindra," Mr. Wu concluded.
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 eight Sino-foreign joint ventures. 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 6 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 Chrysler Group LLC 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. These forward-looking statements include statements regarding the qualitative and quantitative effects of the accounting errors, the periods involved, the nature of the Company's review and any anticipated conclusions of the Company or its management and other statements that are not historical facts. 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 Form 10-K annual report filed with the Securities and Exchange Commission on March 29, 2018, and in documents subsequently filed by the Company from time to time with the Securities and Exchange Commission. 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.
Email: jieli@chl.com.cn
Kevin Theiss
Awaken Advisors
+1-212-521-4050
kevin.theiss@awakenlab.com
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