Soochow: The delivery of new energy vehicles in December met expectations, with a focus on vehicle assembly before components.

Soochow has released a research report stating that the total delivery volume of 12 key new energy passenger vehicle companies is 871,600 vehicles, with a month-on-month and year-on-year increase of +54%/+5% respectively. Summary of the dynamics of vehicle companies show a focus on overseas expansion, infrastructure construction, and intelligent iteration. In terms of allocation strategy: focus on complete vehicles before components. The domestic vehicle landscape and valuation are expected to undergo a new round of reshaping, with stock selection for vehicle companies as follows: 1) domestically leading in intelligence and self-developed full-stack companies such as XPeng Motors (09868) and NIO (02015); 2) companies with important cooperation with Huawei such as Chongqing Sokon Industry Group Stock (601127.SH) and Chongqing Changan Automobile (000625.SZ); 3) state-owned enterprises leading the reform such as SAIC Motor Corporation (600104.SH) and Guangzhou Automobile Group (601238.SH); 4) other companies including BYD Company Limited (002594.SZ), GEELY AUTO (00175), Great Wall Motor (601633.SH), and LEAPMOTOR (09863). The domestic component sector is expected to undergo a new round of growth: 1) Tesla's supply chain companies such as Jiangsu Xinquan Automotive Trim (603179.SH), Ningbo Tuopu Group (601689.SH), Ningbo Xusheng Group (603305.SH), and Huayu Automotive Systems (600741.SH); 2) companies focusing on intelligent components such as Huizhou Desay SV Automotive (002920.SZ), Bethel Automotive Safety Systems (603596.SH), Siasun Robot & Automation (09660), Foryou Corporation (002906.SZ), and Ningbo Joyson Electronic Corp. (600699.SH); 3) other companies like Fuyao Glass Industry Group (600660.SH) and Changzhou Xingyu Automotive Lighting Systems (601799.SH). 1) NIO: In December, NIO delivered a total of 31,138 new cars, with a month-on-month and year-on-year increase of +72.87%/+51.34%. Of these, the NIO brand delivered 20,610 cars and the Leda brand delivered 10,528 cars, with an increase of 38.7% year-on-year. As of December 29th, NIO has built 2905 battery swap stations nationwide, with 4220 charging stations and 24,795 charging piles. 2) LEAPMOTOR: In December 2024, LEAPMOTOR delivered a total of 42,517 vehicles, setting a new historical high, with a month-on-month and year-on-year increase of +128.37%/+5.85%. In the coming year, LEAPMOTOR will aim to reach a target of half a million new deliveries. In terms of globalization, in December, the C10 was awarded EuroNCAP and ANCAP five-star safety certifications, demonstrating its excellent safety performance in line with global standards. 3) GAC Aion: Aion's end-of-December sales reached 46,851 vehicles, with a month-on-month and year-on-year increase of +1.97%/+10.76%. The Aion RT's sales exceeded 16,000 vehicles in its first month on the market. 4) Geely Zeekr: In December 2024, Zeekr delivered 27,190 vehicles, with a month-on-month and year-on-year increase of +101.77%/+0.66%, totaling 222,123 deliveries for the year, an 87% year-on-year increase. In terms of globalization, on December 6th, the Zeekr Malaysia launch event was held, officially releasing the Zeekr 009 and Zeekr X, with deliveries expected to begin in mid-December. On December 16th, the Zeekr 7X started pre-sales in Europe, officially entering the global market. 5) WM Motor: In December, WM Motor delivered 30,189 vehicles, with a month-on-month increase of +23% and a year-on-year decrease of -7%. By model, the M7 has delivered over 190,000 units and was awarded the best-selling new energy vehicle model of 2024, while the M9 has exceeded 200,000 units in sales.