Michael Fitter's questions to CHINA AUTOMOTIVE SYSTEMS (CAAS) leadership • Q2 2025
Question
Asked why R&D spending was flat in Q2, the outlook for future R&D spending, and how much of that spending is dedicated to new energy technologies for electric vehicles.
Answer
R&D spending was flat in Q2 because of significant overspending in Q1. For the first half, R&D spending was up substantially year-over-year. The full-year forecast for R&D is $32-35 million, with 80% of that expenditure directed towards EV-related steering products to meet the high demand in China's EV market.