Jira Pliankharom
Chinese electric vehicle stocks fell on Tuesday as investors stayed cautious amid some near-term challenges. Recent insurance registration data out of China has showed sluggish trends for most of the Chinese EV upstarts and competition is still intense on the pricing front. “We expect competition within the domestic market to remain intense and put pressure on pricing and profitability,” warned Bernstein last week on the China EV sector. Forecasts for China electric vehicle sales in 2024 have been trimmed further in recent weeks. Analysts have also been warning that the geopolitical backdrop is a potential drag on sentiment.
XPeng (NYSE:XPEV) was down 9.35% in the last half hour of trading, while NIO (NYSE:NIO) declined 9.00% and Li Auto (NASDAQ:LI) shed 5.15%. NIO (NIO) printed a new 52-week low of $6.45 earlier in the session.
