Chinese electric vehicle stocks slid on Monday after January delivery data underscored a soft opening to 2026 and revived concerns about domestic demand for EVs. The market reaction was led by BYD, with other prominent manufacturers also recording share-price declines following their delivery announcements.
BYD Co reported 210,051 vehicle deliveries in January, a drop of roughly 30% from the same month a year earlier. Hong Kong-listed BYD shares fell 8%, reaching their lowest level in a year. The company reported its fifth straight month of falling sales, a trend the company attributed to weaker plug-in hybrid performance.
Other Hong Kong-listed EV makers posted mixed January delivery figures that contributed to selling pressure. Xpeng Inc delivered 20,011 vehicles in January, down 34% from a year earlier. Xpeng shares declined about 9%.
Li Auto recorded 27,668 units delivered in January, an 8% decrease year-on-year, and its shares fell 4%.
NIO Inc delivered 27,182 vehicles in January. That total was nearly double the year-ago figure, but it was lower than December deliveries, a pattern the company described as reflecting seasonal softness. NIO's stock dropped over 7%.
Xiaomi reported that its EV unit delivered roughly 39,000 vehicles in January, a monthly record for the brand. Nevertheless, the Xiaomi EV deliveries were still below December's pace, and the parent company's shares fell about 3%, indicating uneven demand across the sector.
The January data highlighted a divergence between year-on-year comparisons and sequential momentum. Several manufacturers reported totals that, while showing improvement over the same month a year earlier in isolated cases, nonetheless did not sustain December's volume levels. Investors responded by selling shares across the sector, reflecting heightened sensitivity to short-term delivery trends.
Market participants will likely watch subsequent monthly delivery figures for confirmation of either a sustained slowdown or a return to stronger monthly volumes. For now, the January numbers have translated into immediate downside pressure on Hong Kong-listed Chinese EV equities.
Sector implications
- Equities - increased volatility in Hong Kong-listed EV stocks.
- Automotive - signs of uneven consumer demand for EVs in early 2026.