CIMC Vehicles Update - 20260730

English summary

# North American trailer market expected to rebound. Previously, North American trailer sales declined for three consecutive years. Wabash, primarily a trailer company, had Q1 26Q1 revenue only about 40% of its peak. North American logistics industry demand is stable, with natural replacement demand for trailers. US trailer orders in May were 2.5x year-over-year, but cancellation rates were high. In 26Q2, industry sales remained around 17,000 units, improving quarter-over-quarter. # Exports to emerging markets continue to grow. In line with heavy truck exports, CIMC Vehicles' trailers are also highly competitive in emerging markets. A 30% compound growth rate is expected to be maintained. # Domestic trailers & upper bodies continue to improve. On July 14, domestic trailers were required to install EBS (similar to passenger car one-box), raising industry thresholds and shifting share to leaders like CIMC. Additionally, the special vehicle industry sales are only 1/4 of the peak, and upper bodies are expected to recover with the special vehicle market; new energy heavy truck replacements also promote upper bodies. In the long term, CIMC Vehicles' logic of electric heavy truck head-trailer integrated trains still holds. We recently communicated with the company and updated the detailed model for CIMC Vehicles. ...