jackpotcitymobilecasino| Multiple negatives dragged down the Hong Kong stock auto sector to fall nearly 7%

Financial Union, May 24 (Editor Hu Jiarong) Most Hong Kong stock and auto stocks weakened today, with Nilai leading the decline. As of press time, Nilai-SW (09866jackpotcitymobilecasino.HK), Zero Run Automobile (09863.HK), BYD Shares (01211.HK), and Great Wall Motor (02333.HK) fell 6.76%, 2.45%, 2.17%, and 2.15% respectively.

In terms of news, the China Passenger Car Market Information Joint Association released the latest research results showing that the retail target of leading manufacturers, which account for more than 80% of the total market, dropped slightly by about 5% in May compared with the same period last year. Preliminary estimates show that the total retail market size of passenger cars in the narrow sense in May was about 1.65 million units, a year-on-year decrease of 5.3%.jackpotcitymobilecasinoThey also pointed out that the market popularity in the first half of the year was significantly lower than that in the same period in previous years. After May Day, terminal popularity dropped, and various manufacturers introduced additional promotions.

In addition, in the early morning of May 22, U.S. Eastern Time, the Office of the U.S. Trade Representative announced the drafting details for a new round of 301 tariffs on China, further refining the previously announced categories of products to be subject to tariff increases into specific product names and customs numbers. Among them, tariff increases on electric vehicles and electric vehicle lithium batteries will take effect on August 1.

How much impact will the U.S. increase in tariffs have on new energy vehicles?

Orient Securities pointed out that China's new energy vehicles currently account for a very small proportion of exports to the United States, only accounting for about 3% in 2023. Even if the tariff on electric vehicles is increased from the current 25% to 100%, the overall impact will be small. But behind this move, it also means that the cost of Chinese car companies entering the U.S. market in the future will increase, or even miss the U.S. market. The most directly affected are lithium battery products, including lithium batteries, lithium battery materials and other supporting components.

Everbright Securities also gave similar views. The broker pointed out that the impact of the United States 'increase in tariffs on new energy vehicles on China is limited and should pay attention to potential risks in the European market. The bank believes that the implementation of tariffs this time is a negative impact and will have no significant impact in the short term. Currently, domestic automobile exports to the United States are limited. In 2023, the volume of new energy passenger vehicles exported by China to the United States will be-16.2% year-on-year to 12,500 units, accounting for approximately 0.3% of domestic passenger car exports.