HK Stock Market Move | NEXTEER (01316) is currently up nearly 7%. The company has announced the opening of its Changshu base, where the production and verification scale of advanced steering systems will be expanded.

NEXTEER (01316) is now up nearly 7%, rising to 6.6% at the time of writing, trading at HK$3.39 with a turnover of HK$27.8011 million. On the news front, on January 15th, NEXTEER announced the opening of its new base in Changshu, Jiangsu Province, China. This strategic move signifies NEXTEER's further expansion in global advanced steering system manufacturing and testing capabilities, aimed at fully utilizing the growth potential in the Asia-Pacific region to meet the increasing demand for advanced Electric Power Steering (EPS) systems from international and domestic vehicle manufacturers. The opening of NEXTEER Changshu also marks the continuous improvement of the company's production capacity in Double Pinion Electric Power Steering Systems (DPEPS) products. Southwest pointed out that with the penetration of high-level autonomous driving, the era of steer-by-wire is expected to arrive. In the first half of 2022, NEXTEER secured the industry's first large-volume steer-by-wire order, followed by a new order for SBW in the first half of 2023; the company's traditional market is the North American market, with rapid growth in the Asia-Pacific region in recent years. In the first half of 2023, the revenue share of the Asia-Pacific market reached 26%, continuing to grow, with new energy orders accounting for nearly 100%; as inflation pressures ease and chip prices continue to fall, it is expected that the company's profitability will improve.