China Automotive Systems’ (CAAS) subsidiary Jingzhou Henglong has secured its first R-EPS product order from a prominent European automobile manufacturer, marking a significant advancement in the company's global expansion strategy.

The order, valued at over $100m in annual sales, will cater to various models of the client's vehicles, with mass production slated to commence by 2027.

CAAS said, rack assist type electric power steering (R-EPS) systems are increasingly becoming standard for mid-to-high-end vehicles due to their reliability, efficiency, and swift response.

Jingzhou Henglong's increased R&D investment in R-EPS has led to technological breakthroughs in noise, vibration and harshness (NVH), steering quality, and other performance characteristics, the company said in a news release.

The use of CAAS' proprietary ball screw in assembly ensures product quality while optimising costs.

CAAS' in-house developed electronic control units have enhanced network security and functional safety, minimising the risk of hardware failure through improved algorithm control.

These advancements have resulted in steering performance that meets or surpasses customer expectations.

CAAS CEO Qizhou Wu said: "This first order from a major European automobile OEM further expands our global footprint and acknowledges the growing value of our high-technology EPS products.

"We are expanding our R-EPS annual production capacity to reach 250,000 units in 2025 and is expected to exceed 1 million units by 2030 to meet the increasing demand by a number of automobile OEMs."

CAAS, headquartered in Hubei Province, is a leading supplier of power steering components and systems in the Chinese automotive market.

The company operates through 16 Sino-foreign joint ventures and wholly owned subsidiaries, offering a wide range of steering system parts for passenger and commercial vehicles.

With an annual production capacity exceeding eight million sets, CAAS provides four distinct series of power steering gears, columns, and hoses.