Mobileye cuts revenue forecast on slow China EV demand, shares sink

Autonomous driving technology maker Mobileye Global Inc lowered its forecast for annual revenue on Thursday due to a slowdown in electric-vehicle demand in major auto market China, sending the company’s shares down nearly 15% before the bell.

China’s decision last year to end a more than a decade-long subsidy for EV purchases has forced automakers to deepen discounts in the world’s largest market in a bid to arrest a demand slowdown.

Mobileye, which counts auto parts suppliers Aptiv Plc and Magna International among its customers, said the downturn forced it to reduce the annual shipment forecast for its driver-assist system SuperVision.