Dongxing: Active Suspension Enters Rapid Development Phase, Continuously Promotes Localization Substitution.

Dongxing released a research report stating that in the current active suspension system, the air suspension system has continued to penetrate from high-end vehicle models. It is expected that with the decrease in hardware costs in the future, this trend will accelerate, leading to further growth in the total volume of configured systems. Furthermore, with the continuous advancement of new technologies such as electric-hydraulic/electric motor full suspension systems towards industrialization, it is expected to drive growth in related component sectors. Therefore, it is recommended to pay attention to enterprises that have a leading advantage in the following two dimensions: 1) In the field of air suspension systems, enterprises with comprehensive coverage of top customers and independent production capabilities in various segments, are expected to maintain a cost advantage and excess profits amidst increasing industry competition; 2) Enterprises with forward-looking technological layouts in the core components of full active suspension systems, are expected to fully grasp the growth opportunities in the early stage of industrialization of new technologies. Dongxing's main points are as follows: Adapting to the trend of intelligent development in cars, suspension systems are evolving from passive to active suspension Suspension systems are accelerating along the path of "passive-semi-active-full-active" evolution. The core advantage of active suspension lies in its ability to dynamically adjust suspension parameters in real time based on road conditions and vehicle driving attitude, significantly improving driving comfort and safety, while also being adaptable to advanced intelligent driving, further enhancing the product differentiation competitiveness of smart car models. Under the multiple drivers of iterative intelligent driving algorithms, upgraded predictive perception technology, and integrated control in the chassis domain, full active suspension systems are at the early stage of large-scale technological application. Solutions like BYD Company Limited's Cloud Chariot series and NIO's Tianxing intelligent chassis have been implemented in high-end vehicle models. Continuous technological upgrades, ongoing replacement of core components with domestic production The combination of air springs and shock absorbers is the mainstream core component of active suspension systems. Air springs are evolving towards a dual-chamber + closed system, with the sales proportion of dual-chamber air spring models reaching 49.3% in the third quarter of the current year, a substantial increase from 2.3% in the previous year. CDC shock absorbers are being upgraded to double valve solutions, which can increase damping force by 50%. In the industry landscape, domestic manufacturers have comprehensively overtaken the air suspension market, while foreign investment still dominates in the field of electronic control shock absorbers. The CDC/MRC assembly has been successfully delivered by domestic manufacturers in large volumes, and core components such as electromagnetic valves and MPUs are gradually achieving breakthroughs in domestic production. Continuous penetration of air suspension systems, full active suspension systems expected to begin large-scale application The number of passenger car air suspension system configurations in the domestic market has increased from 238,000 sets in 2022 to 1.272 million sets in 2025, achieving a leap in three years with a CAGR of 75%. The penetration rate has increased from 1.2% to 5.4%, with configurations extending to vehicles in the 250,000 price range. According to calculations, the company estimates that by 2026, there will be approximately 1.57 million sets of air suspension systems and 130,000 sets of full active suspension systems in the domestic market, which will respectively increase to 2.85 million and 590,000 sets by 2030, with CAGRs of 17% and 45%. The corresponding market sizes for air suspension systems in the domestic market in 2026 and 2030 are projected to be 13.4 billion and 20.7 billion RMB, with a CAGR of 11%. The continued penetration of air suspension systems brings growth potential, and full active suspension systems are expected to gradually enter the stage of large-scale application under the trend of cost reduction driven by the maturity of technology, leading to a rapid increase in the number of configurations. Investment strategy: Active suspension is the inevitable result of the development of suspension systems in the trend of intelligent development in cars. At the current stage, the industry has completed the development from passive suspension to semi-active suspension using air springs and electronic control shock absorbers. With the development of intelligent driving models combined with the catalyst of high-end market demand, full active suspension is also expected to enter the early stage of large-scale technological application. Risk warning: Downturn in the automobile industry, slower than expected technological iteration and penetration rate of active suspension, industry price competition greater than expected, sharp rise in raw material prices, etc.