Automotive parts: deepening industry transformation, coexistence of danger and opportunity

The credit qualifications of the automotive industry are expected to remain stable overall by 2025, with each sub sector having its own characteristics. Specifically, in terms of power batteries, with high demand, diversified suppliers from host manufacturers, and a trend towards going global, we are optimistic about leading power battery companies and second - and third tier enterprises with strong technological reserves and production capabilities. The intelligent related industry chain is promising, and under the advanced intelligent hardware pre installation and software iteration mode, the configuration rate of intelligent cabins continues to increase, and related enterprises have entered a period of explosive performance. The wire controlled braking market will continue to benefit from the growth of new energy vehicles, the rise of domestic brand cars, and the wave of automotive intelligence, and domestic substitution is expected. In terms of electric drive systems, the trend of multi motor further opens up market space. Under the trend of multi in one electric drive integration, we are optimistic about self supplied motor enterprises and enterprises that can provide multi in one electric drive system solutions. In terms of automotive lightweighting, the penetration rate of aluminum alloy die-casting parts is expected to further increase, and industry enterprises are accelerating production expansion. We are optimistic about leading enterprises with production scale advantages, but we also need to pay attention to the subsequent capacity utilization rate of some enterprises.