HK Stock Market Move | Nexteer (01316) surges by over 8%, steer-by-wire technology helps increase the intelligence level of vehicles, the company will benefit from the increase in production of steer-by-wire technology.

NEXTEER (01316) rose more than 8%, as of the time of writing, up 6.75% to HK$4.9, with a turnover of HK$1.87 billion. On the news front, BYD Company Limited released the "God's Eye" smart driving system, covering vehicles in the 70,000 yuan level. Institutions pointed out that high-end smart driving functions are gradually moving down, and the era of smart driving equality is accelerating. It is reported that the advantages of the steer-by-wire system mainly lie in increasing the intelligence level of the vehicle by eliminating the mechanical connection between the steering wheel and the rack. By active control, functions such as lane-keeping, automatic parking, and even assisted driving can be achieved. Western previously pointed out that with the increase in the penetration rate of advanced autonomous driving, the era of steer-by-wire is expected to arrive. In the first half of 2022, NEXTEER received the industry's first large batch of steer-by-wire orders, and in the first half of 2023, it received new SBW orders. The bank pointed out that 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 was 26%, continuing to grow, with new energy orders accounting for nearly 100%.