CITIC Securities: Accelerating Development of Advanced Autonomous Driving, Suggesting Focus on Four Investment Themes

CITIC Securities research report believes that high-level autonomous driving is showing positive changes in multiple scenarios, with leading companies accelerating commercialization. Nationally, the development and progress of related products and technologies in super first-tier cities are leading, with the supporting policies and incentive measures of related cities being key driving factors. Since the beginning of this year, Beijing and Guangzhou have implemented new policies to promote innovative applications of high-level autonomous driving; The AI Empowered Autonomous Driving Innovation Development Forum held in Shanghai on July 26 will focus on releasing development action plans for Shanghai's high-level autonomous driving leadership zone, as well as granting licenses for intelligent connected vehicle demonstration operations, which is expected to promote the landing application of high-level autonomous driving in Shanghai. CITIC Securities believes that as the relevant laws and regulations of autonomous driving gradually improve, the various links in the industrial chain are expected to accelerate technological research and development and product deployment, benefiting the automotive intelligent industry chain. It is recommended to focus on the following investment themes: 1) Fleet operations: With the continuous iteration of autonomous driving technology, fleet operators are expected to be the first to obtain industry increments and realize performance elasticity; 2) Headquartered suppliers of intelligent driving components; 3) Leading OEMs in intelligent driving research and development progress; 4) Headquartered suppliers of roadside equipment.