Periodic/Sector reports
Automobile: Weekly: Beijing Backs Smart EVs as Washington Shuts the Robot Door
Highlights
- July PV demand soft: CPCA retail fell ~18% yoy in the first 26 days, but NEV penetration held firm at ~66%.
- MIIT fast-tracks a dedicated “15th Five-Year Plan” for intelligent-connected NEVs, while regulators tighten ADAS rules and curb price wars; cities resume robotaxi licensing.
- The US has barred new Chinese humanoid/quadruped robots and connected inverters, escalating tech decoupling.
- Geely acquires stake in Ford’s Spain plant; BYD prepares a robot and model offensive at the Chengdu show. • Maintain MARKET WEIGHT. Top BUYs: CATL, EVE Energy, BYD, Geely, and XPeng.
Analysis
- Weekly PV sales: Soft July, resilient NEVs. July passenger-vehicle demand remained under seasonal and price-war pressure, but the ongoing shift to new energy again cushioned the shock.
- Retail declined sharply while NEVs held up. CPCA data for 1–26 July showed PV retail of 1.123m units (–18% yoy), while NEV retail reached 738,000 units (–2% yoy), lifting penetration to 65.7% (+3.8ppt yoy). Full month NEV retail is projected near 980,000.
- With the contraction concentrated in ICE demand, volume continues to migrate to NEV-heavy names like BYD and Geely (NEVs accounted for ~56% of Geely’s 1H26 volume). A sustained ~66% penetration also underpins battery demand for CATL and EVE Energy.
Highlights
- July PV demand soft: CPCA retail fell ~18% yoy in the first 26 days, but NEV penetration held firm at ~66%.
- MIIT fast-tracks a dedicated “15th Five-Year Plan” for intelligent-connected NEVs, while regulators tighten ADAS rules and curb price wars; cities resume robotaxi licensing.
- The US has barred new Chinese humanoid/quadruped robots and connected inverters, escalating tech decoupling.
- Geely acquires stake in Ford’s Spain plant; BYD prepares a robot and model offensive at the Chengdu show. • Maintain MARKET WEIGHT. Top BUYs: CATL, EVE Energy, BYD, Geely, and XPeng.
Analysis
- Weekly PV sales: Soft July, resilient NEVs. July passenger-vehicle demand remained under seasonal and price-war pressure, but the ongoing shift to new energy again cushioned the shock.
- Retail declined sharply while NEVs held up. CPCA data for 1–26 July showed PV retail of 1.123m units (–18% yoy), while NEV retail reached 738,000 units (–2% yoy), lifting penetration to 65.7% (+3.8ppt yoy). Full month NEV retail is projected near 980,000.
- With the contraction concentrated in ICE demand, volume continues to migrate to NEV-heavy names like BYD and Geely (NEVs accounted for ~56% of Geely’s 1H26 volume). A sustained ~66% penetration also underpins battery demand for CATL and EVE Energy.
IMPORTANT NOTICE - DISCLOSURES AND DISCLAIMERS
This report is provided subject to, and must be read together with, the full Disclosures / Disclaimers available at the following link: https://research-api.uobkayhian.com/assets/disclaimer/df64a6ea-7980-447c-ae9e-fd19b93257dc, which are incorporated by reference into this report. In particular, this report is intended for general circulation and informational purposes only and does not constitute personal investment advice or a recommendation to buy or sell any investment product or security. You should independently evaluate the information and, where necessary, seek advice from a qualified financial adviser regarding the suitability of any investment. Analyst certifications required under applicable regulations, including SEC Regulation AC (where relevant), are included in this report. By accessing, receiving or using this report, you acknowledge that you have read, understood and agreed to be bound by the Disclosures / Disclaimers, as may be amended, supplemented or updated from time to time.
Related articles
13 Jul 2026
Hong Kong Property: Sales Slowing; Balance Sheets Strengthening; Dividend Support Building
17 Jul 2026
Automobile: Weekly: June Sets Records As 1H26 Profit Alerts Split The Value Chain
21 Jul 2026
Internet: WAIC 2026 – Full-stack AI Deployment Accelerates Across Agents, Embodied Intelligence and Smart Terminals
Our latest research
29 Jul 2026
China Property: Margin Trough Not Yet Behind Us; Quality Still Wins Out
21 Jul 2026
Internet: WAIC 2026 – Full-stack AI Deployment Accelerates Across Agents, Embodied Intelligence and Smart Terminals
17 Jul 2026