Investment suggestions: 1) complete vehicles and parts: in January 2022, China’s automobile sales volume was 2.531 million, with a year-on-year increase of 0.9%. In the first month of the year, it achieved a slight positive growth. With the gradual easing of the shortage of automobile chips and the expectation of stable growth policy, it is expected that the automobile production and sales volume will be further improved in the first quarter of 2022. It is suggested to pay attention to independent brands. Recently, the escalation of the situation in Russia and Ukraine has had a certain impact on the global automotive industry. On the one hand, the new round of sanctions by the United States may further stimulate the rise in the prices of raw materials such as natural gas and oil in Europe. On the other hand, many semiconductor manufacturers around the world rely on some materials from Russia and Ukraine, such as neon and palladium, which will further aggravate the risk of interruption of supply of semiconductor raw materials. In the short term, it will have a direct impact on the export of China’s automobile industry to Russia. In the long term, the rising commodity prices caused by the upgrading of Russia and Ukraine will also raise the production costs of the automobile manufacturing industry. 2) . new energy vehicles: in January 2022, the sales volume of new energy vehicles was 431000, with a year-on-year increase of 135.8%. Under the background of rising prices of terminal products and high raw material prices of some auto enterprises, the sales performance was slightly better than the market expectation. We believe that there is no turning point in the current penetration rate of new energy vehicles, and in the continuous improvement of the product power of new energy vehicles Under the rich supply of high-quality models and the industrial scale effect, it is expected that the new energy vehicle industry will continue to develop well. It is suggested to focus on the implementation of lithium battery material technology innovation.
Market review: last week, the automobile (Shenwan) industry index fell 0.24%, outperforming the Shanghai and Shenzhen 300 index by 1.43 percentage points. Among them, the key sub sectors rose or fell by 0.08% for passenger cars, 2.12% for commercial vehicles and 0.05% for auto parts. The new energy vehicle index rose 2.70%, outperforming the CSI 300 index by 4.37 percentage points. Among them, the key sub industries rose or fell by 4.13% for power battery, 4.59% for lithium positive electrode, 6.96% for lithium negative electrode, 2.02% for lithium diaphragm and 4.71% for electrolyte.
Industry trends: 1) the general office of Shanghai Municipal People’s government issued the implementation opinions on further promoting the construction of charging and replacing infrastructure in Shanghai; 2) Baidu Cheng Byd Company Limited(002594) intelligent driving supplier; 3) Tesla Shanghai plant plans to expand the parts production project.
Company dynamics: 1). Wuhan Lincontrol Automotive Electronics Co.Ltd(688667) : announcement of 2021 annual performance express; 2) Suzhou Sonavox Electronics Co.Ltd(688533) : announcement of 2021 annual performance express; 3) Gem Co.Ltd(002340) : Announcement on signing the strategic cooperation agreement of “recycling nickel resources material manufacturing” with Ningbo Ronbay New Energy Technology Co.Ltd(688005) ; 4) Guangdong Jiayuan Technology Co.Ltd(688388) : announcement of 2021 annual performance express.
Risk factors: the sales volume of vehicles is lower than expected, the sales volume of new energy vehicles is lower than expected, and the policy is lower than expected.
