Hong Kong Stocks Alert | NEXTEER (01316) Surges Over 6% as L3 Autonomous Driving Gains Policy Support, Steer-by-Wire System Penetration Expected to Rise

Stock News
Sep 15

NEXTEER (01316) surged over 6%. As of press time, the stock rose 6.78% to HK$7.24, with trading volume reaching HK$152 million.

On the news front, on September 13, the Ministry of Industry and Information Technology and seven other departments issued the "Automotive Industry Stable Growth Work Plan (2025-2026)", proposing to promote the industrialization and application of intelligent connected vehicle technology. The plan advances pilot programs for intelligent connected vehicle access and road testing, conditionally approves L3-level vehicle production access, and promotes the improvement of laws and regulations related to road traffic safety and insurance.

It is understood that steer-by-wire (SBW) systems are strongly correlated with advanced autonomous driving and can significantly improve driving safety and comfort. Securities analysts previously noted that as the penetration rate of L3-level and above autonomous driving increases, the penetration rate of SBW systems is expected to rise accordingly.

The SBW competitive landscape is favorable, with currently only NEXTEER, Bosch, and ZF achieving mass production of steer-by-wire systems. Among them, NEXTEER's designated market share accounts for more than half of the global market.

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