Benefiting from the double benefits of increased shareholding by shareholders and policies, some auto stocks have seen a slight increase today. As of the time of writing, $LEAPMOTOR (09863.HK)$,$GEELY AUTO (00175.HK)$,$LI AUTO-W (02015.HK)$,$XPENG-W (09868.HK)$Rises by 3.38%, 2.31%, 0.97%, 0.52% respectively.

According to the announcement of $LEAPMOTOR (09863.HK)$ Mr. Zhu Jiangming, the company's shareholder, chairman and CEO, and Mr. Fu Li Quan, plan to increase their holdings of the company's H shares within 6 months from the date of the announcement, with an increase amount not exceeding RMB 0.3 billion yuan or equivalent in Hong Kong dollars.

Note: the announcement of Lark Auto

As of the announcement date, Mr. Zhu Jiangming and Mr. Fu Li Quan, along with their affiliated companies, collectively hold 0.185 billion H shares and 0.129 billion domestic shares of the company, accounting for 23.47% of the total issued shares of the company.

$XPENG-W (09868.HK)$ Also recently, CEO He Xiaopeng increased his holdings. Specifically, between August 21 and 23, he bought 1 million H shares at an average price of approximately HKD 27.13 per share, as well as 1.42 million American depositary shares at an average price of approximately USD 7.02 per share.

Note: Announcement from Xiaopeng Motors

Xiaopeng Motors' board of directors stated that He Xiaopeng's increased holdings demonstrate his strong confidence in the company's future development, and he plans to continue increasing his shareholding.

Boosting sales of new energy vehicles through the trade-in policy

Since March of this year, the trade-in policy has been further strengthened. On August 16, the Ministry of Commerce, along with six other departments, issued a notice to further optimize the work of trading in old cars for new ones. The subsidy standards for eligible cars to be scrapped and replaced have been significantly increased: the subsidy for purchasing new energy passenger vehicles has been raised from CNY 10,000 to CNY 20,000, and the subsidy for purchasing fuel-powered passenger vehicles has been raised from CNY 7,000 to CNY 15,000. The subsidy amount has doubled.

According to data from the Ministry of Commerce, as of 10:00 on August 16, 2024, more than 600,000 applications for subsidies for trading in old cars for new ones have been received, with a daily increase of over 10,000 applications. In the first seven months of 2024, the nationwide car scrappage volume reached 3.509 million vehicles, a year-on-year increase of 37.4%. In particular, in July, the nationwide car scrappage volume reached 0.731 million vehicles, a year-on-year increase of 93.7%.

In addition, the implementation of the trade-in policy has also promoted the growth of car sales. From January to July 2024, China's automobile production and sales reached 16.179 million vehicles and 16.31 million vehicles, respectively, a year-on-year increase of 3.4% and 4.4%.

In the field of new energy vehicles, the production and sales volume reached 5.914 million and 5.934 million respectively, with a year-on-year increase of 28.8% and 31.1% respectively. The sales volume of new energy vehicles accounts for 36.4% of the total sales volume of new vehicles, which indicates that the new energy vehicle market is growing rapidly and becoming increasingly favored by consumers.

Editor / rocky