China Auto Industry We turn more positive after visiting London and Paris

研报英文原文证据摘录

China Auto Industry We turn more positive after visiting London and Paris

Asia Pacific Equity Research

09 June 2026

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China Auto Industry

We turn more positive after visiting London and Paris

We turn more optimistic on Chinese OEMs’ overseas expansion, China

particularly in Europe, following our annual European Auto Conference last Head of APAC Auto Research

week (here), where we took the opportunity to visit BYD stores in London AC Nick Lai

and Paris. To reflect our positive stance, we raise our 2026 overseas sales (65) 6801-3176

forecasts for BYD/Geely by ~15%/30%. Key strategic highlights below: nick.yc.lai@jpmorgan.com

• Europe: Mixed-propulsion transition market: Chinese OEMs are shifting J.P. Morgan Securities Singapore Private

from single-powertrain exports to balanced portfolios (BEV+PHEV/HEV) Limited/Limited/ J.P.J.P. MorganMorgan SecuritiesBroking (Hong(AsiaKong)Pacific)

plus brand ladders (e.g., BYD to Denza) and tech stories. Our store checks Limited

show robust PHEV demand alongside “value-for-money” BEV wins. Jiajie Shen, CFA

• Retail execution moat: Channels + after-sales + residual value: BYD (86-21) 6106 6352

emphasizes dense dealership/store coverage and high test-drive conversion jiajie.shen@jpmchase.com

(~50%); Chinese OEMs stress after-sales depth to build trust, residual value SAC Registration Number: S1730520030006

and monthly payment competitiveness, aiming to avoid pure price J.P.LimitedMorgan Securities (China) Company

competition.