Financial Link News on September 30th (Editor: Hu Jiarong), boosted by multiple bullish factors in the market, most Hong Kong stock autos stocks strengthened. As of the time of publication, Nio-SW (09866.HK), xpeng-W (09868.HK), and li auto-W (02015.HK) rose by 19.79%, 11.32%, and 7.97% respectively.

Note: Performance of auto stocks.

On the news side, on September 29th, Shanghai Municipal Commission of Commerce jointly with five other departments issued the 'Shanghai Municipal Detailed Rules on Supporting the Implementation of the Subsidy Policy for Trading in Old Cars for New Cars (Rbob Gasoline Autos)', aiming to stimulate consumption in the autos market.

According to this policy, from January 1, 2024, to December 31, 2024, individual consumers who purchase new non-commercial rbob gasoline passenger vehicles with National VI B emission standards and register them for non-operational use, if scrapping or transferring (excluding registration changes) non-operational rbob gasoline passenger vehicles with National V and below emission standards registered under their name in this city within the stipulated period, will receive a one-time subsidy of 0.012 million yuan for car purchase.

Meanwhile, Cui Dongshu, Secretary-General of the China Passenger Vehicle Market Information Joint Conference, stated at the 'World New Energy Autos Conference' that the retail sales volume of new energy passenger vehicles in the mainland is expected to reach 10.4 million units, a year-on-year increase of 34%.

Cui Dongshu also mentioned that in the midst of rapid changes in the global development of new energy autos, China plays an important role, believing that domestic autos will not be 'held back' as the domestic supply chain has a strong foundation in consumer electronics, and that the constraints of Europe and America on China are not sustainable. From a fundamental perspective, China has a strong global competitive edge.

Nio Inc's share price surged over 23% at one point.

From the chart above, Nio's stock price performance is leading due to the bullish shareholding by strategic investors, with the company's intraday increase exceeding 23% at one point.

Note: Nio's stock price performance

In terms of news, on September 29, Nio announced a strategic investment agreement with three existing shareholders - Hefei Jiaheng New Energy Automobile Investment Fund Partnership (Limited Partnership), Anhui Provincial High-tech Industry Investment Co., Ltd., and Guotou CMBI Investment Management Co., Ltd.

According to the agreement, these strategic investors will subscribe to Nio China's newly issued shares with 3.3 billion yuan in cash for capital increase, while Nio will also inject 10 billion yuan in cash to subscribe to Nio China's newly issued shares.

Puyin International recently pointed out that the brokerage expects Nio's sales volume of new energy vehicles to reach 0.23 million units this year. With the sub-brand model Lixiang L60 ramping up production in the fourth quarter of this year, as well as the launch and delivery of Nio's ET9, Lixiang new models, and sub-brand Firefly models next year, Nio's total sales of new energy vehicles will increase significantly. Therefore, entering next year, Nio will enjoy a more diverse product matrix and price range coverage. The significant revenue growth will leverage operational leverage to significantly improve operating profit margins.