Auto industry blockbuster policy than expected parts companies first "red envelopes_Industry News

News

Home - News - Industry News

Auto industry blockbuster policy than expected parts companies first "red envelopes

Time: 2018-04-12 View: 562 Burst:

On boao BBS, two big news stories about the auto industry came together. "China will significantly ease market access, and the next step will be to ease restrictions on foreign shares, especially in the auto industry, as soon as possible," President xi jinping said on April 10. At the same time, "" there will be a considerable reduction in auto import tariffs." "
These two big news about the auto industry, directly to the capital market's auto sector waves.
Among them, A share aspect, the news just announced, substar bus and other complete vehicle enterprises straight to the morning trading limit, but the stock price was quickly "the market reason" suppressed; The strongest performance in the automotive sector, when the auto parts subdivision, including dongan power, parts stocks have been a huge amount of money to buy the limit.
In Hong Kong, the performance seems more dramatic. Automobile dealers that sell imported luxury cars, such as zhengtong auto, yongda auto, zhongsheng holdings, etc. have seen their share prices rise significantly, among which zhengtong auto has surged more than 12 percent.
In fact, the a-share market also has A similar variety, but guoji automobile was suspended because of the planning of major events, thus missed this "performance show".
Two way exposure
Although the market is expected to reduce import tariffs and liberalize the share ratio, many in the industry, the appearance of the two major formulation and previously imagined "expected difference" is not exactly the same.
On the one hand, under the background of the obvious improvement in the competitiveness of the domestic auto industry, the moderate tariff reduction has been considered by some people to be possible.
On the other hand, it was widely believed that the time had not yet come for the traditional auto share market to open up, so this statement from the top of the country exceeded market expectations.
Nevertheless, from the current evidence, the automobile industry, as one of the largest import and export industries, is expected to be the first to make industrial changes in the context of sino-us trade friction. At the same time, however, it is worth emphasizing that China has already made arrangements to expand imports on its own initiative, instead of having a direct relationship with sino-us trade frictions.
As early as this year's NPC and CPPCC national sessions, the government work report has proposed to open more sectors such as telecommunications, medical care, education and old-age care, and cut import tariffs on automobiles and some consumer goods.
The People's Daily went out of its way to emphasize that "with further opening up, China has its own firm stand, that is, China has its own propositions, demands and rhythm in opening up to the outside world, and opening wider to the outside world will never come at the expense of China's national interests. No one can expect today's China to open its doors unbridled and unprincipled under external pressure.
Reduce the structural impact of tariffs
The tax on imported automobiles is usually composed of three parts: tariff, consumption tax and value-added tax, which together become an important factor to determine the final customs value of an imported automobile.
But overall, the impact of lower import tariffs on domestic high-end vehicles is relatively greater.
According to the calculation of northeast securities, if the tariff of imported cars gradually drops from 25% to 5%, the price difference ratio of c-class cars will be significantly reduced, while the price difference ratio of b-class cars and a-class cars is relatively small. Therefore, the reduction of duty on imported c-class cars has A great impact on domestic advanced cars, while imported a-class cars and b-class cars have little direct impact on domestic a-class cars and b-class cars.
Yet COINS have two sides. For buyers, the price reduction of c-class cars will inevitably produce extrusion effect on b-class cars, which will lead to the relative increase of their sales.
Of course, tariff on imported cars is expected to be lowered, leading enterprises in the imported car market will benefit first.
Guoji takes up more than 20% of imported cars, and its agent brands include jaguar land rover, Volkswagen, ford, Chrysler and porsche. In 2017, the new American Lincoln north market and the whole tesla system were added.
Another large group of dealers succeeded in rubbing up against the hot spots. Pang da group shares surged 5 per cent in intraday trading on the news. But it ended up just 2.6 per cent, as the market became more rational and executives' plans to reduce their holdings were suspended.
In fact, overall, the prevailing view among industry insiders is that, in the current context, the gradual reduction of import tariffs on imported cars will not have much impact on domestic autonomous models and joint ventures.
From the perspective of trend, under the background of globalization, tariff reduction is actually an inevitable trend. After years of development, China has cultivated many complete vehicle enterprises with strong independent brands, including saic, gac, Great Wall motor and geely automobile. This is where the Chinese auto industry has dared to meet the enemy.
Taking saic motor group as an example, according to the company's annual report in 2017, the company achieved the sales of 6.93 million vehicles, with a year-on-year growth of 6.8%, more than one time higher than the market growth rate of 3.3%, showing the development of joint venture and independent wings.
In terms of joint venture, the three major joint ventures of the company showed strong market performance last year, with annual sales exceeding 2 million units. Saic Volkswagen sold 2.063 million units, ranking first in the domestic passenger car market. Saic gm has 2 million vehicles, breaking through 2 million for the first time. Saic-gm-wuling has 2.15 million units, ranking first in China.
In terms of autonomy, the sales volume of saic-owned passenger cars roewe and mg reached 522,000, 62.27% year on year, showing a rapid growth. The sales volume of saic chase exceeded 71,000 vehicles, an increase of 54% year-on-year, and the new sales volume of self-owned brands of 227,000 vehicles contributed 51.6% of the group's increase, becoming a new engine driving the growth.
It is this confidence that saic shares on April 10 a gold needle to the bottom. The logic behind this is that, initially, there was concern that companies would be hit by lower tariffs on imported cars; But the fear quickly returned to sanity, and money bought on the cheap, helping the company's share price recover.
Release stock ratio limit: breakthrough under pressure
It is a topic that has been discussed for many years. National related departments related position in recent years, for several times in the industry point of view, the limit foreign investment shares is based on the market for voice, so to speak, to obtain technology model, also can saying is wear on the foreign head ', and the auto industry shares should be open foreign car companies has long been a dream, but be involved in many power game.
The Chinese association of automobile manufacturers has raised clear objections, partly because it is reluctant to allow China to become a processing plant for foreign products.
Dong Yang, executive vice President and secretary general of the China association of automobile manufacturers, previously told the securities times, "the auto industry is not a general manufacturing industry, but a strategic industry to support the transformation and upgrading of the national economy. All the economic powers in the world are not automobile powers. Moreover, in the new round of technological and industrial reform, the automobile industry will play a very important role, and the Internet of things, mobile terminals, etc., will take the automobile as the main carrier. If we give up control now, the auto industry could become a processing plant for foreign products.
At this point, the central government mentioned the topic of opening up the stock ratio again. Similarly, Chinese automobile brands have been greatly developed, with great improvement in product technology, research and development, manufacturing, sales channels and services, which can directly participate in the competition of joint venture brands. At the same time, the international economic environment has also undergone considerable changes. Attracting foreign investment and encouraging long-term investment have gradually become an important subject of national reform and opening-up.
In the view of senior auto industry figure niu da-wei, domestic auto companies need to continue to work hard to improve their core competitiveness. "Both the home appliance and mobile phone industries are fully competitive, and the independent home appliance brands have been well developed in the free competition. Although there are still some ways to go in the mobile phone industry, the prospect of domestic mobile phones is still good. Therefore, independent brands can break through under great pressure instead of being doomed after the release of stock ratio.
However, some institutions believe that from the subjective and objective conditions of the traditional car share liberalization, the probability of short-term occurrence is extremely low; And new energy vehicles in the free trade zone to liberalize the share ratio is expected to be the intermediate "lubricant".
It is worth noting that the NDRC has issued policies to limit the expansion of fuel vehicle capacity, so most people believe that foreign self-built factories do not have objective conditions to support, and new energy vehicles could become a "pioneer", but this has little impact on the current new energy pattern.
The performance of the secondary market echoes this. Yesterday, the whole new energy vehicle sector in the a-share market was stable and divided, among which the best performer was tesla industrial chain supplier xu sheng, whose share price rose 6%. But shares in lanhai huateng, maker of electric motor controllers for electric vehicles, fell by the daily limit.
In the entire auto sector, the strongest performance is not the vehicle, but the auto parts industry.
In addition to feng long shares because of the secondary reasons for the trading limit, the main auto engine, transmission dongan power and aluminum alloy wheel manufacturer Addison li strong trading limit, xusheng shares, north technology and other parts manufacturers have increased more than 6 percent. It is clear that the view of funds is that auto parts companies are most likely to cash in on the changes to the auto industry brought about by the relaxation of the foreign share ratio and the reduction of import tariffs.
In Hong Kong, shares in Beijing auto and brilliance China fell sharply on the news. Among them, Beijing auto's business includes building a factory with mercedes-benz in China for production and sales, while brilliance China works with BMW to build a factory in China for production and sales. Some market analysts believe that these joint ventures may be impacted once restrictions on foreign cars are relaxed.