Xpeng leads EV makers lower as China auto group cancels competition pact

Wuling Motors Holdings

10/07/2023 05:08

** Xpeng  9868.HK  leads slide in Chinese electric vehicles
(EV) makers, falling 3.9% to HK$52.45, lowest since July 3 
    ** Stock is the biggest pct loser in Hang Seng Tech Index
 .HSTECH  and Hang Seng China Enterprises Index  .HSCE  
    ** The China Association of Auto Manufacturers (CAAM),
citing antitrust law, on Saturday retracted a pledge to avoid
"abnormal pricing" made two days earlier by 16 automakers,
including Tesla  TSLA.O 
    ** CAAM said it would urge the 16 companies and other
association members to comply with the antitrust law and compete
fairly with independent pricing
    ** Thursday's CAAM-organised pledge by the companies,
including EV makers NIO, Li Auto and Xpeng, had been interpreted
by some as signalling a truce in a price war that has threatened
industry-wide profitability
    ** Shares of BYD Co  1211.HK , Geely Auto  0175.HK , Li Auto
 2015.HK , Leapmotor  9863.HK  slip between 0.5% and 0.8%, while
NIO  9866.HK  and Wuling Motors  0305.HK  climbs 0.7 and 1.4%
respectively
    ** Other automakers fall with Dongfeng Motor  0489.HK ,
Great Wall Motor  2333.HK , Sinotruk  3808.HK , GAC  2238.HK ,
BAIC  1958.HK , SAIC  600104.SS , Changan  000625.SZ , FAW
 000800.SZ  down between 0.2% and 3% 
    ** In China, blue-chip CSI 300 Index  .CSI300  gains 0.6% 
    ** In Hong Kong, Hang Seng China Enterprises Index  .HSCE 
adds 0.8% and Hang Seng Tech Index  .HSTECH  surges 1.3% 

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))