Hong Kong stock concept tracking|Shenzhen relaxes electric bicycle trade-in subsidy conditions, electric two-wheeler sales will increase significantly in 2024 (with concept stocks)

On November 25, the Shenzhen Municipal Bureau of Commerce issued the “Shenzhen 2024 Electric Bicycle Trade-in Subsidy Implementation Guidelines”. In order to further expand the scope of electric bicycle trade-in activities, make it easier for consumers to apply for subsidies, and adjust the requirements related to electric bicycle trade-in work: From October 6, 2024 to December 31, 2024, individual consumers will be given a one-time subsidy of 500 yuan to sell used electric bicycles in Shenzhen and purchase new electric bicycles with a sales price of 1,500 yuan or more.

In addition, the scope of the subsidy has been relaxed. The adjusted scope of the subsidy is: old cars can be licensed or unlicensed; the sales price of a new car is based on the price of the new car invoice including tax; each person can only apply for the subsidy once. The application process is simplified. After adjustment, the application process is: consumers scrap old cars and buy new cars, and upload materials to claim subsidies through the event platform.

Recently, the Department of Consumer Goods Industry of the Ministry of Industry and Information Technology announced the proposed list of enterprises that meet the requirements of the electric bicycle industry (second batch). A total of 25 electric bicycle vehicle companies have entered the public list. The announcement ends on October 16. Unlike the first batch of only 6 shortlisted companies, the number of companies announced this time increased dramatically. A total of 25 companies were shortlisted, including 3 Yadi, Tianjin Yadi Industrial Co., Ltd., Anhui Yadi Locomotive Co., Ltd., and Guangdong Yadi Locomotive Co., Ltd.

The Zhitong Finance App learned that according to previous market reports, the first batch of companies that met the “Electric Bicycle Industry Specification Requirements” was released in late August this year. There were 6 companies in the first batch, namely Tianjin Emma Vehicle Technology Co., Ltd., Tailing Technology Co., Ltd., Yadi Technology Group Co., Ltd., Zhejiang Luyuan Electric Vehicle Co., Ltd., Zhejiang Yadi Locomotive Co., Ltd., and Chongqing Yadi Technology Co., Ltd. Judging from the first batch of official lists and the second batch of shortlisted lists, the number of Yadi-related companies is the largest.

Changjiang Securities pointed out that sales of electric two-wheelers increased markedly in 2024. As of September 23, 2024, the annual sales volume of electric two-wheelers in China has broken the 54 million mark. Changjiang Securities Research estimates that the sales volume for the full year of 2024 may exceed 70 million units.

Leading e-bike companies:

Yadi Holdings (01585): Yadi's sales volume in August was about 1.8 million units, down from 2 million units last year, and is close to 10%. Despite this, Yadi's share of the Guanneng series remains above 45%, and the share of models under 2,500 yuan continues to be controlled, and there is room for a slight increase in unit prices. With the implementation of the new national standard, costs will increase, small brands will gradually be eliminated, and the unit price of Yadi's products is expected to continue to rise. Currently, Yadi's high-end series accounts for about 40%, and the goal is to increase it to 60% to 65%. Compared with competitors, the unit price of Yadi's products is still lower, and the company invests heavily in core components, which affects profit performance to a certain extent.

Lead-acid battery-related companies:

Tianneng Co., Ltd. (00819): The world's leading lead-acid battery company. The company said that in the domestic lead-acid power battery market for electric light vehicles, the company's market share has steadily topped the list, and its market share has exceeded 45%.