Zhi Tong Cai Jing·2025-10-14 05:55Core Viewpoint - Automotive stocks experienced a significant rise in the morning but collectively turned negative in the afternoon, indicating volatility in market sentiment towards the sector [1] Group 1: Stock Performance - Brilliance China (01114) fell by 4.3%, trading at HKD 3.78 [1] - Great Wall Motors (601633) (02333) decreased by 2.75%, trading at HKD 15.54 [1] - GAC Group (601238) (02238) dropped by 1.86%, trading at HKD 3.17 [1] - Li Auto-W (02015) declined by 1.18%, trading at HKD 87.9 [1] Group 2: Policy and Market Sentiment - The Ministry of Industry and Information Technology and two other departments issued a notice regarding the exemption of vehicle purchase tax for new energy vehicles, with technical requirements set for 2026-2027 [1] - UBS reported that while most automakers should meet the new standards, the updated policies may appear stricter, negatively impacting market sentiment [1] - Despite potential policy headwinds in 2026, investors remain generally optimistic about new vehicle launches from individual companies [1] Group 3: Market Forecasts - The Secretary-General of the Passenger Car Association, Cui Dongshu, indicated that the association raised its annual market expectations in August and will further adjust forecasts after discussions in late October, with an upward revision expected for 2025 growth predictions [1] - Shenwan Hongyuan recently noted that as automotive subsidies are nearing their end and the exemption of purchase tax for new energy vehicles will conclude next year, vehicle purchase costs will significantly increase, potentially leading to a market rush in the fourth quarter [1]