Core Viewpoint - The head of Xiaopeng's autonomous driving division, Liu Xianming, expressed confidence in the progress of their second-generation VLA, indicating that the development and testing processes are proceeding smoothly, with a stable version expected for users in the first quarter of this year [1] Group 1 - Liu Xianming humorously suggested that competitors should prepare for a "canteen" as they are likely to be disappointed with the performance of their products [1] - The company aims to provide users with an upgraded version of the autonomous driving system by August, which is expected to exceed the current capabilities [1] - The ongoing testing and development are on track, with a commitment to continuous improvement for the users [1]

Core Insights - The Chinese passenger car market is projected to retail 23.78 million units in 2025, reflecting a 4% year-on-year growth, supported by policies like "trade-in" [2] - Major domestic automakers such as BYD, Geely, Changan, and Leap Motor have achieved significant progress, while several joint venture companies are showing signs of recovery in China [2] Domestic Automakers Performance - BYD achieved a record annual sales of 4.60 million units in 2025, a 7.73% increase, with pure electric vehicle sales reaching 2.25 million units, up 27.85%, surpassing Tesla in global sales [3] - SAIC Group sold 4.51 million vehicles in 2025, a 12.3% increase, with its new energy vehicle sales growing by 33.1% to 1.64 million units [3] - China FAW's total vehicle sales reached 3.30 million units, a 3.2% increase, with its new energy vehicle sales soaring by 71% to 366,000 units [4] - Geely's total sales reached 3.02 million units, a 39% increase, with new energy vehicle sales hitting 1.69 million units, up 90% [4] - Changan's sales reached 2.91 million units, an 8.5% increase, with new energy vehicle sales growing by 51% to 1.11 million units [5] - Chery Group achieved a record high of 2.81 million units sold, with new energy vehicle sales increasing by 54.9% to 903,800 units [5] Joint Venture Automakers Performance - Joint venture automakers are under pressure but some have found ways to adapt, with FAW-Volkswagen leading in sales with 1.59 million units sold [7] - SAIC Volkswagen achieved sales of 1.06 million units, maintaining a strong position in the market [8] - Toyota's joint ventures in China reported positive growth, with FAW Toyota selling 805,500 units, a 3-year consecutive growth [8] New Energy Vehicle Market - New energy vehicles are a common highlight across major domestic automakers, with significant growth in sales and market penetration [3][4][5] - New entrants like Leap Motor and NIO are also showing strong growth, with Leap Motor achieving 596,600 units sold, a 103% increase [10] - Xpeng Motors delivered 429,400 units, a 126% increase, while NIO delivered 326,000 units, a 46.9% increase [11] Export Growth - China's automobile exports are expected to exceed 7 million units in 2025, marking a historic high [13] - Chery led the export of Chinese passenger cars with 1.34 million units, a 17.4% increase [13] - BYD's overseas sales surpassed 1 million units, a 145% increase, with significant growth in Europe [14] - New energy vehicle exports are also on the rise, with companies like Leap and Xpeng expanding their international presence [16]

Group 1 - Some popular Chinese concept stocks experienced a decline in pre-market trading, with Baidu dropping over 3% and Xpeng Motors falling more than 2% [1]

Core Insights - Xiaopeng Motors launched four new models at its global product launch on January 8, 2026, marking a significant push into the electric vehicle market with a focus on advanced technology and competitive pricing [4][6] - The company aims to leverage its VLA2.0 intelligent driving technology and Kunpeng super-range system to enhance its market position amidst a slowing automotive market [4][7] Group 1: Product Launch and Technology - The new models include the 2026 Xiaopeng P7+, G7 super-range, G6, and G9, priced between 170,000 to 270,000 yuan, showcasing a comprehensive attack on the electric vehicle market [4] - VLA2.0 technology, which eliminates traditional language translation steps, allows for direct conversion of visual information from cameras into vehicle control commands, enhancing the driving experience [4][5] - The VLA2.0 system has been trained on 1 billion kilometers of data and is expected to enable L3 level autonomous driving capabilities by March 2026 [5] Group 2: Market Strategy and Pricing - Xiaopeng's pricing strategy aims to position its vehicles as "smart-first" options in the 200,000 yuan market, offering advanced features at competitive prices [6] - The P7+ super-range version starts at 186,800 yuan, while the G7 super-range version starts at 195,800 yuan, both featuring high-end intelligent driving and fast-charging capabilities [6] - The company plans to cover a broader user base with its four-car strategy, addressing previous limitations in product diversity and enhancing market competitiveness [6][7] Group 3: Market Outlook and Challenges - The automotive market is expected to face significant pressure in 2026, with a projected 1% growth in retail sales and a 13% increase in new energy vehicle sales, down from 17.6% in 2025 [4][7] - Xiaopeng Motors aims to differentiate itself through technology and product strength, focusing on L4 level intelligent driving technology and range extension to alleviate consumer concerns about battery life [7] - Despite achieving significant growth in overseas sales, the company has yet to achieve profitability, and ongoing high R&D investments continue to exert pressure [7]

恒生指数高开1.32%，恒生科技指数涨1.93%。科网股全线走强，阿里巴巴、阿里健康涨近5%，小鹏汽 车涨逾4%，金蝶国际、比亚迪股份涨逾3%。兆易创新H股上市高开45%。 来源：第一财经 ...

Core Viewpoint - UBS has assigned a "Neutral" rating to XPeng Motors (XPEV.US) with a target price of $18, indicating a cautious outlook on the company's performance in the near term [1] Group 1: Management Insights - The management of XPeng Motors has indicated that the pricing of new models takes into account changes in the trade-in policy, with expectations for a relatively stable pricing environment by 2026 [1] - The company will prioritize cost optimization, enhancing operational leverage, and consolidating its technological leadership [1] Group 2: Financial Performance - Despite rising lithium prices, the company does not anticipate significant challenges to its gross margin this year, as sales expansion is expected to offset the increase in raw material costs [1] - Future models will be equipped with Turing chips to highlight cost advantages and performance improvements [1] Group 3: Market Strategy - Currently, the company has no plans to establish joint ventures in overseas markets, but it expects international sales growth to significantly outpace domestic growth, targeting over 20% of total revenue from overseas markets by 2026 [1] - The localized production line in Austria is expected to shorten delivery times and reduce tax costs, further improving profit margins [1]

Core Viewpoint - UBS has issued a "Neutral" rating for XPeng Motors (XPEV.US) with a target price of $18, reflecting cautious optimism about the company's future performance [1] Group 1: Management Insights - The management of XPeng Motors has indicated that the pricing of new models takes into account changes in the trade-in policy, expecting a more stable pricing environment by 2026 [1] - The company will prioritize cost optimization, enhancing operational leverage, and solidifying its technological leadership [1] Group 2: Financial Performance - Despite rising lithium prices, the company does not anticipate significant challenges to its gross margin this year, as sales expansion is expected to offset the increase in raw material costs [1] - The company plans to equip future models with Turing chips to highlight cost advantages and performance improvements [1] Group 3: Market Strategy - Currently, there are no plans to establish joint ventures in overseas markets, with expectations that international sales growth will significantly outpace domestic growth, targeting over 20% of total revenue from overseas markets by 2026 [1] - The localized production line in Austria is expected to shorten delivery times and reduce tax costs, further improving profit margins [1]

Core Viewpoint - UBS report indicates that XPeng Motors' management has considered the impact of trade-in policies on the pricing of new models, expecting a more stable pricing environment by 2026 [1] Group 1: Pricing and Cost Management - The company prioritizes cost optimization, enhancing operational leverage, and consolidating its technological leadership [1] - Despite rising lithium prices, the company does not anticipate significant challenges to its gross margin this year, as sales expansion can offset the increase in raw material costs [1] Group 2: Future Product Development - The company plans to equip future models with Turing chips to highlight its cost advantages and performance improvements [1] Group 3: Market Expansion - Currently, the company has no plans to establish joint ventures in overseas markets, but it expects international sales growth to significantly outpace domestic growth, targeting over 20% of total revenue from overseas markets by 2026 [1] Group 4: Stock Rating - UBS assigns a "Neutral" rating to XPeng Motors' US stock with a target price of $18 [1]

Group 1 - Hong Kong automotive stocks experienced a general increase, with BYD shares rising over 4%, Chery Automobile up 3%, and Xpeng Motors increasing by 2.8% [1] - Other notable gains included Li Auto, Great Wall Motors, Geely, NIO, and Seres, all rising close to 2% [1] - The latest stock prices and percentage changes for key companies are as follows: BYD at 99.650 (+4.13%), Chery at 30.660 (+3.02%), Xpeng at 82.600 (+2.80%), and others showing similar upward trends [2] Group 2 - The Ministry of Commerce announced progress in consultations regarding the EU-China electric vehicle case, agreeing to provide general guidance on price commitments for Chinese exporters of pure electric vehicles to the EU [2] - According to Cui Dongshu from the Passenger Car Association, initial implementation of the price commitment mechanism may lead to short-term fluctuations in sales as some manufacturers adjust pricing and product structure [2] - As manufacturers adapt to new rules, local production capacity is released, and product competitiveness improves, Chinese electric vehicle sales in the EU market are expected to gradually recover [3] - It is projected that from 2026 to 2028, Chinese electric vehicle exports to the EU will maintain an annual growth rate of around 20%, becoming a significant driver of global electric vehicle market growth [3]

Group 1 - The core viewpoint of the news is that Hong Kong automotive stocks have generally risen, with significant increases in companies like BYD, Chery, and XPeng, driven by positive developments in the EU-China electric vehicle negotiations [1] - The Ministry of Commerce announced progress in consultations regarding electric vehicles, agreeing to provide general guidance on price commitments for Chinese exporters of pure electric vehicles to the EU [1] - Industry expert Cui Dongshu indicated that initial implementation of the price commitment mechanism may lead to short-term fluctuations in sales for some automakers as they adjust pricing and product structure [1] Group 2 - As automakers adapt to new rules, local production capacity is expected to be released, and product competitiveness will improve, leading to a gradual recovery in the sales of Chinese electric vehicles in the EU market [1] - Cui Dongshu forecasts that from 2026 to 2028, exports of Chinese electric vehicles to the EU will maintain an annual growth rate of around 20%, becoming a significant driver of growth in the global electric vehicle market [1] - Specific stock performance includes BYD rising by 4.13%, Chery by 3.02%, XPeng by 2.80%, and others showing increases, indicating a positive market sentiment towards these companies [2]