Market Overview - In December 2025, the retail sales of passenger cars in China reached 2.296 million units, a year-on-year decrease of 13%, but a month-on-month increase of 3%. Cumulatively, retail sales for the year amounted to 23.779 million units, reflecting a year-on-year growth of 4% [1][5] - The wholesale volume for passenger cars in December 2025 was 2.759 million units, down 10% year-on-year and down 8% month-on-month. The cumulative wholesale for the year was 29.524 million units, showing a year-on-year increase of 9% [1][8] New Energy Vehicle (NEV) Performance - Retail sales of new energy vehicles in December 2025 reached 1.387 million units, a year-on-year increase of 7% and a month-on-month increase of 5%. Cumulatively, retail sales for the year were 12.859 million units, up 18% year-on-year [1][5] - The wholesale volume of new energy vehicles in December was 1.554 million units, a year-on-year increase of 3% but a month-on-month decrease of 9%. The cumulative wholesale for the year was 15.31 million units, reflecting a year-on-year growth of 25% [1][5] Production Trends - In the first four weeks of December, the production of pure fuel light vehicles was 905,000 units, down 29% year-on-year and down 16% month-on-month. The production of hybrid and plug-in hybrid vehicles totaled 525,000 units, down 26% year-on-year and down 21% month-on-month [2] Weekly Sales Trends - The average daily retail sales for the first week of December were 42,000 units, down 32% year-on-year and down 8% month-on-month. The second week saw an average of 67,000 units, down 17% year-on-year but up 9% month-on-month. The third week recorded 77,000 units, down 11% year-on-year and up 9% month-on-month. The fourth week had 90,000 units, down 12% year-on-year and down 15% month-on-month. The fifth week experienced a surge to 123,000 units, up 17% year-on-year and up 2% month-on-month [4][5] Policy Impact - The tightening of trade-in and scrapping subsidy policies has led to a cautious attitude among dealers, contributing to a decline in retail sales in November. However, the release of the new subsidy policy for 2026 is expected to stimulate demand and support a strong start in January 2026 [6][11] Global Market Share - In the first eleven months of 2025, China accounted for 68.4% of the global market share for new energy passenger vehicles, with a significant contribution to the global increase in sales [12][13]

Core Insights - Stellantis N.V. is recalling 123,396 vehicles in the U.S. due to potential road hazards from detached window trim pieces [1][2][9] - The company is facing significant challenges in North America, with U.S. sales declining for eight consecutive quarters [2] - Financial performance has deteriorated, with a 13% year-over-year revenue drop to €74.3 billion in H1 2025 and a net loss of €2.3 billion [3][9] - Leadership changes, including the exit of CEO Carlos Tavares, add uncertainty, with new CEO Antonio Filosa expected to present a turnaround plan in early 2026 [4][9] - Near-term risks include projected tariff costs of €1.5 billion for 2025 and a negative free cash flow of €3 billion in H1 2025 [5] Financial Performance - Revenues decreased by 13% year-over-year to €74.3 billion in the first half of 2025 [3] - The company reported a net loss of €2.3 billion, a significant decline from a profit of €5.6 billion in the same period last year [3][9] - Adjusted operating income fell to €500 million, with profit margins collapsing to 0.7% from 10% [3] Leadership and Strategy - Following the departure of CEO Carlos Tavares, new CEO Antonio Filosa will outline a turnaround strategy in early 2026 [4] - The leadership transition contributes to low visibility regarding the company's future performance [4] Risks and Challenges - Stellantis anticipates €1.5 billion in tariff costs for 2025, with €0.3 billion already accounted for in H1 2025 [5] - The company's net financial position has weakened, with net debt rising to €6.5 billion after cash burn in the first half of 2025 [5]

Core Insights - Ford is recalling over 1.45 million vehicles due to faulty rearview cameras that may display blank or distorted images when reversing [1][10] - The recall affects 51 models, including popular vehicles like the Ford Mustang, F-250, F-350, Transit vans, and Lincoln models [2] - This year, Ford has issued more than 100 recalls, the highest among automakers, leading to significant warranty and recall expenses [3][4] Financial Impact - Ford's warranty costs have increased by 22% year-over-year in 2024, reaching $6 billion, largely due to repair campaigns [4] - In the last reported quarter, Ford incurred charges of $570 million related to a major recall for faulty fuel injectors in certain models [5] - The company is forecasting a loss of over $5 billion in its electric vehicle segment this year, exacerbated by unexpected recall costs [7][10] Reputation and Market Position - The frequency of recalls has raised concerns about Ford's quality control, potentially affecting consumer trust and purchasing decisions [6][11] - Ford's stock has gained around 10% over the past year, underperforming compared to competitors like Toyota, which is up 15% [12] - Ford trades at a forward price-to-sales ratio of 0.28, significantly lower than the industry average, indicating potential undervaluation [13]