HK Stock Market Move | Automobile stocks generally weakened in July, as the gap in sales among car manufacturers widened. Technology remains a key competitive factor in the automotive market.

Automotive stocks generally softened. As of the time of writing, XPENG-W (09868) is down 4.28%, priced at HKD 46.94; LI AUTO-W (02015) is down 3.88%, priced at HKD 49.84; BAIC MOTOR (01958) is down 2.87%, priced at HKD 0.845; and Great Wall Motor (02333) is down 2.23%, priced at HKD 8.76. In terms of news, the new car-making forces have recently released their performance figures for July, further intensifying the differentiation trend. Specifically, LEAPMOTOR's monthly sales exceeded 100,000 units, pushing the leading benchmark to a new height. XPENG delivered 38,027 vehicles in July, a year-on-year increase of 4%, but a month-on-month decline of 5.23%; LI AUTO delivered 30,468 vehicles in July, a year-on-year decrease of about 0.86% and a month-on-month decline of 1.38%. Guoyuan believes that as subsidies decline and competition eases, the automotive industry will focus on market share, profitability, and technological advancement. Both the domestic and foreign markets are equally important. It is recommended to pay attention to companies with strong product capabilities for long-term growth amid the downward pressure in the market during the first half of the year, as well as the empowering effect of technology on automobiles.