In recent years, the capacity utilization rate of the company's disc brake project has been declining year by year, reaching 59.88%, 52.21%, 52.48% and 34.36% in 2017-2020, respectively, but the capacity utilization rates of other products are acceptable. Is the main reason still that the demand for disc brakes is not as good as expected? Is there any possibility of improving the utilization of the company's spare disc brake capacity in the future?

Bethel: Hello! The automotive industry has very obvious off-seasons and peak seasons. The fourth quarter is the quarter with the highest sales volume of the year, and November and December are the months with the highest sales volume of the year. The company's production capacity arrangement must be arranged according to the production volume of the highest month. Because there are many batch projects of disc brakes, the average annual capacity utilization rate will be low; in addition, EPB is a substitute for disc brakes. With the rapid growth of EPB, the growth rate of disc brakes will slow down. However, according to the analysis of the company's current new project location, disc brakes are still on a growth trend. At the same time, the company is also making overall arrangements for production capacity and production lines. Thank you!