On October 26, an investor raised a query about Zhejiang Shibao on an interactive platform concerning the draft regulations for steer-by-wire (SBW) technology, which were issued by four departments, including the Ministry of Industry and Information Technology. According to the draft, SBW, as a virtual control component, must undergo thorough safety assessments and reliability testing covering distances exceeding 30,000 kilometers. It also mandates environmental testing over two winters and one summer, and explicitly prohibits the direct use of supplier verification reports. The investor questioned whether Zhejiang Shibao's SBW system currently complies with these rigorous testing standards and whether the company conducts the full suite of tests independently. Furthermore, the investor expressed concern over whether the stricter regulatory requirements might cause delays in the Start of Production (SOP) for vehicle models specified by customers, potentially impacting the company's production plans and the small-batch supply of SBW systems under its private placement project.

On the same day, Zhejiang Shibao responded by stating that its SBW products undergo multiple rounds of internal durability and reliability tests on specialized test benches, covering extreme conditions such as high and low temperatures. The company's testing standards are tailored to meet the specific requirements of Original Equipment Manufacturers (OEMs), which are often more stringent than national standards. Additionally, Zhejiang Shibao's testing center has obtained CNAS certification as well as certifications from each of its partnering OEMs, demonstrating its comprehensive testing capabilities. As a critical safety component, the company strictly adheres to and implements the testing standards and specifications set forth by both its partnering OEMs and national regulations to ensure the utmost product safety.

Regarding the potential impact of the new regulations on the project's SOP timeline, Zhejiang Shibao stated that it is currently uncertain whether any adjustments will be necessary.