China Automotive Systems Initiates Volume Shipment of EPS to European Automaker

CAAS Launches EPS Shipment to Leading Automaker in Europe

On May 18, 2026, China Automotive Systems, Inc. (NASDAQ: CAAS), a prominent supplier of power steering components, proudly announced the commencement of volume shipments of its electric power steering (EPS) systems to a global automaker's division in Europe. This initial dispatch marks the start of a significant collaboration aimed at enhancing vehicle performance and efficiency.

The EPS systems will first feature in two new vehicle models set to hit the European market, with plans for additional projects on the horizon. Annual sales are projected to reach approximately 300,000 units, underscoring the potential scale of this partnership.

This momentous event was celebrated by CAAS's senior management and key stakeholders during a gathering at their manufacturing site. Over the past two years, the CAAS team has worked meticulously to ensure the project's success, leveraging strong technical expertise and thorough engineering methodologies. They have notably achieved high accolades from the automaker for meeting stringent technical and quality standards during the development phase.

To meet the demanding specifications set forth by the automaker, CAAS conducted an impressive total of 66 Design Validation/Production Validation (DV/PV) tests, with 65 of these passing the customer's evaluation on the first attempt. Additionally, the team undertook 11 significant software upgrades to refine the functionality and efficiency of the EPS systems, showcasing their commitment to innovation and excellence.

Furthermore, CAAS has deployed an advanced production line characterized by state-of-the-art technologies. This includes the seamless integration of Manufacturing Execution Systems (MES) with Automated Guided Vehicles (AGV), sophisticated computer vision for Poka-Yoke (error-proofing), and fully autonomous robotic inspection processes that ensure quality control across production stages.

CEO Mr. Qizhou Wu expressed his pride in the company's accomplishments, emphasizing that their entry into another major original equipment manufacturer (OEM) supply chain broadens their customer base and geographic outreach. He affirmed the company's dedication to its mission of delivering intelligent chassis system solutions to global automakers. Mr. Wu highlighted that the EPS system is a critical component of CAAS's expanding product portfolio, which is designed to cater to the varied needs of both passenger and commercial vehicle sectors worldwide.

China Automotive Systems is strategically located in Hubei Province, China, and has become a key player in supplying power steering components to both domestic and international automotive markets. Their operations are bolstered by sixteen Sino-foreign joint ventures and fully owned subsidiaries. CAAS offers an extensive range of steering system parts for various vehicle types, boasting an impressive annual production capacity exceeding 8 million units.

Their client roster includes leading automobile manufacturers such as China FAW Group, Dongfeng Auto Group, BYD Auto, Beiqi Foton Motor, and Chery Automobile within China, as well as Stellantis and Ford in North America, positioning CAAS firmly as a versatile supplier in the global automotive landscape.

As the journey continues, CAAS remains focused on pursuing innovative solutions and expanding its impact in the automotive industry, with EPS products at the forefront of their technological advancements.

For further insights into CAAS's initiatives and future projects, you can visit China Automotive Systems.