Company: SDAWW
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001213900-25-036086
Chunk: 73

Company: SunCar Technology Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 4
Chunk 73
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 auto eInsurance agencies can initiate strategic alliances with vehicle manufacturers
to better take advantage of the resulting market opportunity and customer data. Ultimately, through the application of technologies, auto
eInsurance providers can develop sophisticated and customized auto eInsurance according to each individual case. Such technology trends
will likely continue in the foreseeable future.

Overview of China’s Integrated Auto Service
Market

According to the National
Bureau of Statistics of China, by the end of 2024, the total number of motor vehicles for civilian use in China reached 352.68 million,
up by 16.51 million over the previous year. Electric vehicles (“ EVs”) totaled 31.40 million, up by 10.99 million over the
previous year. These surpass the United States and the European Union in both size and growth.

Integrated auto service providers
refer to those who offer comprehensive, integrated auto services to customers through offline service channels such as 4S dealership,
repair & maintenance stores and other offline auto service providers.

B2B (Business-to-Business)
integrated auto service providers offer their products and services to business customers which primarily comprise of banks, airline companies,
insurance companies, telecom companies, online platforms such as online travel agencies and e-commerce platforms, and other corporates
who have such needs. B2C (Business-to-Customer) integrated auto service providers offer their products and services directly to the consumers
(or called end users). A few online professional auto service platforms are emerging, where consumers can directly purchase relevant services
and enjoy services in particular offline automobile service stores.

Butler service mode mainly
targets particular business customers such as banks, insurance companies, airline companies and telecom companies, among others, who tend
to adopt centralized procurement through a bidding. The winner of the bidding supply integrated services to these business customers in
the form of an auto service package. Banks, insurance companies, airline companies and telecom companies generally distribute such services
as a reward to their VIP customers or high-level members and the latter can enjoy relevant services by redeeming their reward points.

Order push mode, in which
each type of auto service is designed to be a standardized product and are sold by an intermediate institution, which are primarily online
platforms, especially e-commerce platforms. They tend to offer such standardized products on their platform and when consumers order relevant
services, they procure it accordingly from integrated auto service providers.

Future Trends of the B2B Integrated Auto Service
Market in China

Increasing Demand for
Integrated Auto Service

Driven primarily by