China's EV Battery Stocks: Powering Sustainable Transportation

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Key China EV Stocks To Track
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China EV Industry - Overview

• China, the worlds biggest electric vehicle
  market, has seen exponential growth in its auto
  sector over the past couple of years. Chinas EV
  industry sold a record 5.9 million vehicles in
  2023, accounting for 59 of EVs sold globally.
• The Chinese government is pushing for the
  adoption of new energy vehicles (NEVs) by
  offering subsidies to manufacturers and purchase
  tax cuts for buyers.

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China EV Industry - Overview

• China announced a goal to develop sufficient
  charging infrastructure to meet the needs of 20
  million NEVs by 2025. Additionally, China is also
  rapidly expanding its lithium-ion battery
  industry.
• Chinas EV push makes sense as the country is
  among the worlds top polluters, and the
  electrification of vehicles will reduce the
  countrys dependence on imported oil, reduce air
  pollution and help the country reach carbon
  emission targets.

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China EV Companies

• BYD - Shenzhen-based EV-maker BYD (002594.SZ /
  1211.HK) is a publicly listed firm with a market
  capitalization of about 849.09 bn yuan (126 bn).
  The company is Warren Buffet-backed and overtook
  Tesla with total sales. BYD is listed at Shenzhen
  Stock Exchange.
• SAIC Motor - SAIC (600104.SS) is Chinas
  state-owned automaker and is the countrys
  biggest player in the sector. The company makes
  EVs as well as internal combustion engine
  vehicles, but the latter is still a major part of
  the business.

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China EV Companies

• NIO - Chinese EV-maker NIO Inc (NIO.N) is listed
  on the New York Stock Exchange. NIO offers a
  large variety of electric vehicles and has
  sophisticated technology competing with the likes
  of Tesla. The recently launched Nio ES7 is dubbed
  the fastest SUV yet.
• Xpeng - Established in 2015, EV-maker Xpeng
  (XPEV.N) offers smart electric vehicles such as
  SUVs, sports sedans and family sedans, among
  others.

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China EV Companies

• Li Auto - Founded in Beijing in 2015, Li Auto is
  listed on the New York Stock Exchange (LI.O). The
  company has a market capitalization of nearly 30
  bn.
• Apart from the mentioned EV companies, some other
  notable stocks to keep an eye on are
• Geely
• Dongfeng Motor
• Cherry Automobile
• Great Wall Motors

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Chinas Battery Stocks to Watch

• Chinas EV battery prowess is unparalleled, with
  about 56 of the total global market share.
  Chinese battery maker CATL alone had 34.8 of the
  global market share during the first half of
  2022, said a report by South Korean battery
  research firm SNE Research. BYD came in at the
  third spot among the list of the worlds top 10
  battery makers, which includes a total of six
  Chinese battery manufacturers.

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Chinas Battery Stocks to Watch

• CATL - China-based Contemporary Amperex
  Technology Co (CATL) is the worlds biggest EV
  battery maker and is listed on the Shenzhen stock
  exchange (300750.SZ).
• Tianqi Lithium - While not a pure EV company,
  Tianqi Lithium (002466.SZ) is making big moves in
  the EV space to capitalize on the rising demand
  for electric vehicles. The company is the worlds
  biggest miner of lithium, the key element used in
  EV batteries, and controls more than 46 of the
  global production of the mineral.

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China EV thematic funds

• For those who do not want to invest in individual
  shares, there are mutual funds and ETFs with high
  exposure to the EV sector or individual thematic
  funds.
• An example is the Global X China Electric Vehicle
  and Battery ETF.
• It tracks the Solactive China Electric Vehicle
  and Battery Index NTR.

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