Hong Kong's new energy vehicle (NEV) supply chain surged during early trading on the 11th. CATL soared over 8%, while Geely Auto and CALB jumped more than 6%. XPeng Motors, Nexteer, Zhejiang Shibao, and Leapmotor all rose over 3%. Among popular ETFs, the Huabao ChinaAMC CSI Hong Kong Stock Connect Automotive Industry Thematic ETF (520780), representing Hong Kong's smart driving leaders, surged 2.53% intraday, marking its fourth consecutive positive trading session.
The rally was fueled by NIO's latest earnings report released the previous evening. The company announced an operating profit of 1.25 billion yuan for the fourth quarter of 2025, marking its first-ever quarterly profit. Total revenue reached approximately 34.65 billion yuan, a significant 75.9% year-over-year increase. Cash reserves climbed to 45.9 billion yuan, rising nearly 10 billion yuan from the previous quarter. NIO's strong performance in Hong Kong trading today propelled the broader automotive supply chain upward.
In related news, on March 9th, the leading new energy battery manufacturer also disclosed impressive annual results. Its financial report revealed a net profit of 72.2 billion yuan for 2025, solidifying its position as the dominant leader and profit champion in the energy storage sector. The company maintained its global leadership in energy storage battery shipments for the fifth consecutive year in 2025. Its energy storage battery system business generated annual revenue of 62.44 billion yuan, accounting for 14.74% of total revenue, with energy storage battery sales volume reaching 121 GWh, a 29.13% year-on-year increase. System integration shipments grew by over 160% compared to the previous year.
BOC International expressed optimism, forecasting that global NEV sales will maintain strong momentum in 2026, potentially reaching a new historical high and driving high growth in supply chain demand. Under a consensus to "avoid internal competition" coupled with robust demand, profitability in the materials sector is expected to see simultaneous volume and profit growth. The accelerated industrial application of new technologies, represented by solid-state batteries, is anticipated to spur technological upgrades across the supply chain, leading the firm to maintain an "outperform" rating on the industry.
For investors looking to gain exposure to the Hong Kong Stock Connect automotive supply chain, the Huabao ChinaAMC CSI Hong Kong Stock Connect Automotive Industry Thematic ETF (520780) is a key instrument to watch. Its underlying index focuses on vehicle manufacturers while also covering segments like automotive components and industrial metals. The ETF stands to benefit from multiple favorable trends, including strong automotive consumer demand, the accelerated rollout of L3-L4 autonomous driving technologies, and spillover benefits from robotics. Its portfolio includes significant holdings in稀缺 Hong Kong-listed smart driving leaders such as XPeng, BYD, Li Auto, and Geely Auto.
A golden crossover in the MACD indicator has formed, signaling positive momentum for these stocks.
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