Auto Stocks Slide in H1 2026, Only a Few Smart and New Energy Picks Defy the Trend

In the first half of 2026, shares of auto-related listed companies generally underperformed. According to statistics, the average stock price of 117 automotive sector listed firms fell by 18.74% during the first half, with an average monthly decline of 12.63% in June alone—the steepest monthly drop of the year. Approximately 90% of individual stocks declined in June, and more than 80% posted negative returns for the first half. In contrast, the Shanghai Composite Index and the Shenzhen Component Index both recorded positive gains over the same period, while only the Hang Seng Index declined. All six sub-sectors of the automotive industry posted losses in both June and the first half of the year. In June, the passenger vehicle, intelligent mobility/mobility services, and auto parts segments underperformed the broader market. For the first half, all sub-sectors except new energy vehicles (NEVs) saw declines exceeding 10%, with NEVs experiencing a relatively smaller drop. Among individual stocks, top gainers were largely concentrated in the intelligent mobility/mobility services and NEV segments. Huaya Intelligent surged 64.55% in June and rose 114.34% cumulatively in the first half. Yushi Technology gained 30.65% in June and 60.45% for the first half. NEV-related stocks such as Yongshan Lithium, Do-Fluoride Chemicals, and Loongon Technology also ranked among the top ten best performers. Conversely, the worst performers were primarily from the passenger vehicle, intelligent mobility/mobility services, and dealer/retail/aftermarket segments. Intelligent driving firms like Hesai Group and Pony.ai, along with passenger vehicle makers including Voyah Auto, BAIC Motor, and Seres, featured prominently on both June’s and the first half’s worst-performing lists. Dealers such as Yongda Automotive and Meidong Auto also ranked among the top ten biggest decliners for the first half. The sector-wide pressure stemmed from ongoing price wars, declining profitability, and short-term pains associated with strategic transformation. Meanwhile, technological advances in solid-state batteries and autonomous driving have driven select stocks to outperform despite the broader downturn. Market participants are now watching closely whether the auto sector can establish clearer visibility on profitability and order volumes in the second half of the year to regain investor confidence.