Auto Stocks Gain on China Sales Recovery
NIO, UXIN, CAAS, Geely were among the gainers on Tuesday.
Shares in Nio Inc. (NYSE: NIO) soared more than 10% Tuesday after China reported improving auto sales.
The China Association of Automobile Manufacturers said on its official WeChat account today that May sales rose an estimated 11.7% compared with a year ago.
That marked the second month of a recovering market as the Chinese were making up for the freeze of the pandemic lockdowns. For April, the CAAM reported a 4.4% increase year-over-year to 2.07 million vehicle sales. At the time, the authority also said it still expects a 15% decline in the auto market for the full year – and worse, if the pandemic returns.
Today's positive news uplifted the stock of electric vehicle maker Nio to $4.70 per American depositary share – back to its pre-outbreak level.
Auto parts supplier China Automotive Systems (Nasdaq: CAAS) saw 4% gains in New York, to $2.13 per share. Chinese auto marketplace Uxin (Nasdaq: UXIN) enjoyed a 7% incline to $1.59 per share. The stock in rivaling Cango Inc. (NYSE: CANG) dropped 2%, however.
In Hong Kong, shares in China's largest private carmaker, Geely Automobile Holdings Ltd. (HKEX: 0175) jumped nearly 2% to HK$11.08. Auto and battery maker BYD Co. Ltd. (HKEX: 1211) saw its stock jump nearly 3% to HK$47.70 per share. GAC Group (HKEX: 2238) enjoyed a 3% incline.
Among U.S. carmakers selling in China, General Motors Co. (NYSE: GM) was up 2%, Ford Motor Co. (NYSE: F) inched up 4 cents, and Tesla (Nasdaq: TSLA), guided by its own principles, slipped 2%.