Changes in Hong Kong stocks | Weichai Power (02338) rose nearly 3% at the end of the session. Industry demand concentrated on Xiaomo's leading position in the LNG heavy truck engine market in the second half of the year

The Zhitong Finance App learned that Weichai Power (02338) rose nearly 3% at the end of the session. As of press release, it had risen 1.98% to HK$20.04, with a transaction of HK$281 million.

Komo released a research report stating that it regards Weichai Power as one of the preferred stocks in the industrial sector in 2026. The bank pointed out that founder and former chairman Tan Xuguang announced his retirement in August 2024. Investors were worried that Sinotruk and Weichai might be strategically decoupled as a result, but as Wang Zhijian, a former company executive, became the chairman of Sinotruk and Weichai's parent company Shandong Heavy Industries Group at the end of last month, it is expected that the risk of strategic continuity between the leadership and the company will be mitigated.

Furthermore, Xiaomo pointed out that China's heavy truck demand performance in November was still very strong, confirming that this year's demand was concentrated in the second half of the year. It is expected that liquefied natural gas (LNG) truck sales are growing rapidly. He is optimistic about Weichai's leading position in the LNG heavy truck engine market, and believes there is potential for valuation re-rating.

According to information, Weichai Power's share in the LNG heavy truck engine market has been stable at more than 60% for a long time. From January to April 2025, it also broke through 50% of its core market share, reaching 42% of the high-horsepower gas engine market with 500 horsepower or more, far surpassing competitors such as Cummins, Jiefang Power, and Yuchai Group. Among the top three heavy truck brands in domestic natural gas sales, Weichai Power's supporting share is as high as 70%-90%, making it the core power supplier for leading heavy truck companies.