China Auto Sector: Tailwinds driving China auto sales

Despite the recent Sichuan power crunch and sporadic lockdowns, the impact on China’s auto industry has been mild. In fact, the country’s passenger vehicle sales have been recovering at a strong pace since June.

The auto sector has corrected by some 10-30% in the past one month, largely due to a volatile stock market. As the auto market is entering the 4Q peak cycle, we believe investor interest will return. Find out which names we like in the China auto space.

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