According to the Wisdom Wealth APP, the autos industry chain ranks top in terms of increase. As of the time of publication, Zhongsheng Hldg (00881) rose by 6.42% to HK$9.62; Meidong Auto (01268) rose by 6.08% to HK$1.92; NIO Inc-SW (09866) rose by 6.51% to HK$42.55; Li Auto Inc-W (02015) rose by 4.67% to HK$88.6; Xpeng-W (09868) rose by 2.28% to HK$38.05.

On the news front, according to relevant data from the China Automobile Dealers Association, in August, the overall discount rate of the new car market was 17.4%. From January to August this year, the 'price war' has led to an overall retail loss of 138 billion yuan in the new car market, significantly impacting the healthy development of the industry. The association calls for relevant government departments to pay close attention to the current financial difficulties and shutdown risks faced by the automotive distribution sector, decisively take phased financial relief policy measures, and effectively prevent the occurrence of systemic risks in the automotive distribution sector.

Sinolink Securities pointed out that in September, various provinces successively issued replacement policies in response to the national scrappage renewal policy, encouraging consumers to trade in old vehicles for new ones, effectively boosting new car sales. With the addition of policy subsidies, the traditional strong sales performance of the 'Golden September, Silver October' in the automobile market is remarkable, and the incremental potential of new energy products exceeds historical expectations. In addition, on September 19, the Federal Reserve announced a 50 basis point rate cut, officially initiating a global rate reduction cycle, which is also a bullish factor for car market consumption. It is expected that this year's strong season sales performance in September and October will exceed expectations.