Hong Kong Stock Connect Auto ETF E Fund (159121) target index outperformed this week against the trend, and the high prosperity of our country's independent auto brands' exports is expected to continue.

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This week, the Hang Seng Hong Kong Stock Connect Automotive Theme Index rose by 3.0%, the CSI Auto Parts Theme Index fell by 1.4%, and the CSI Smart Electric Vehicle Index declined by 5.3%.

On the news front, Chery Automobile exported 393.3k vehicles in the first quarter of 2026, a year-on-year increase of 53.9%. During the same period, Geely Auto exported 81.6k vehicles in March, setting a new monthly export record. China’s independent brands are shifting their overseas strategy from “product going abroad” to “brand going abroad,” and the export boom is expected to continue. During the window when European and American automakers are slowing down their electric vehicle rollout, Chinese automakers, leveraging a complete supply chain and cost advantages, are poised to further capture global market share. The logic of both profit and valuation recovery for vehicle and component companies will continue to be realized.

Daily Economic News

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