On October 18, Changhua Holding Group (605018.SH) disclosed in the investor relations activity record for October that in 2023, the company established a strategic cooperation relationship with KBC Corporation, Ltd., sharing resources, mutual benefits, jointly developing the carbon-ceramic brake system application market, and successively securing designated projects from many well-known automobile brands such as BYD, GAC Aion, and New Energy Vehicles. According to public information, 2024 is expected to be the industrial first year of domestically produced carbon-ceramic brake discs, with the scale expected to reach nearly tens of billions in the future. Carbon-ceramic brake discs have advantages such as high strength, high wear resistance, high hardness, lightweight, impact resistance, oxidation resistance, and thermal decay resistance, with significant advantages in braking performance, durability, and lightweighting, surpassing normal brake discs, and have good market prospects.

The company's business related to carbon-ceramic brake systems is progressing in an orderly manner. The related projects have entered the small-scale trial production stage, and there are dozens of parts being developed for the aftermarket modification market. The company will seize market opportunities, deepen cooperation with key customers, actively seize the blue ocean market, and further enhance the company's profitability.