In the traditional off-season in August, the passenger car off-season is not thin. Passenger cars produced 857,500 units and sold 857,300 units in August, an increase of 86.10% and 90.18% year-on-year respectively. In January-August, they produced 6,126,600 units and sold 6,226,400 units, an increase of 32.32% and 36.84%, respectively. The development trend of maintaining prosperous production and sales in August reflects the state of the economy as a whole continues to improve. This is of course the result of various policies. The high growth of the auto industry this year is a foregone conclusion. The growth rate may decline in the future and gradually shift to the track of sustained and steady growth.

Commercial vehicles continue to pick up and trucks have fully recovered. In August, the production and sales of wagons were 281,800 and 248,500, respectively, an increase of 9.54% and 10.81% from the previous quarter, which was a year-on-year increase of 58.25% and 61.37%, respectively. In the second half of the year, commercial vehicles will enter a full recovery phase. From January to August, commercial vehicles produced a total of 2.121 million units and 2.1049 million units, an increase of 12.38% and 10.84% ​​year-on-year. As the macro economy continues to pick up, commercial vehicles have gradually recovered. At present, trucks have entered an all-round prosperity stage, and the production load of major companies has exceeded conventional ones. The bus industry is gradually recovering, but it is still in the early stages of recovery, and major companies are currently producing normally.

Passenger car valuation pressures have emerged. The auto and parts segment fell by 2.57% on 9.15-9.25. During the same period, the Shanghai Composite Index fell by 5.05% and the Shanghai-Shenzhen 300 Index fell by 5.55%. Of the companies that focused on the company, Weifu Gaoke, JAC, Weichai Power, China National Heavy Duty Truck, and Foton Motor topped the list. In the first three quarters, the rapid recovery of passenger vehicles, in the traditional off-season in July and August still showed strong sales momentum, changing the traditional sales pattern. The high growth of passenger cars throughout the year has been undoubtedly confirmed, and the secondary market has also responded fully to this expectation. However, the higher base also puts pressure on the growth rate next year. In particular, the growth pressure will increase in the second half of next year.

The commercial vehicle segment has a clear valuation. The overall recovery of commercial vehicles was later than that of passenger vehicles. It has changed from a decline in the first half of the year to a net increase in the second half of the year. Among them, the recovery of trucks is the mainstay, and passenger cars are still in a slow recovery process. And due to the continuous deepening of investment in fixed assets, strong demand for commercial vehicles will continue next year. The recent market hot spots began to gradually shift from passenger vehicles to commercial vehicles, and the number of commercial vehicle-related stocks rose in the most recent two weeks. The valuation of commercial vehicles still has a large room for improvement, and its hot spots are expected to continue. The recent recommendations continue to focus on the heavy-duty truck industry and related parts and components companies, focusing on Weifu Hi-Tech and Weichai Power. The bus industry also has obvious valuation advantages. However, there is still a gap from “strong” and can be deployed in advance and prepared for a long time.



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