CHERY AUTO (09973) saw its shares fluctuate after issuing an apology for a botched vehicle stunt at Tianmen Mountain that went viral on social media.

On November 13, CHERY AUTO opened slightly higher but quickly reversed gains, dropping as much as 3% intraday to HK$30.42. Although it pared losses before closing, the stock still ended down 2.17% at HK$30.7, wiping out HK$3.95 billion in market value in a single day. Analysts attributed the decline to shaken investor confidence following the incident.

Earlier that day, CHERY AUTO issued a public apology after footage circulated online showing its Fengyun X3L SUV sliding backward during a stair-climbing challenge at Tianmen Mountain in Zhangjiajie, Hunan province, damaging a guardrail.

In its statement, CHERY AUTO explained that preliminary investigations revealed the accident occurred when a safety rope’s fastener unexpectedly detached, causing the rope to entangle the right wheel and disrupt power output. This led to the vehicle rolling back and hitting the guardrail.

The automaker emphasized that no injuries or environmental damage resulted from the incident but acknowledged shortcomings in risk assessment and execution. "We sincerely apologize for the disruption caused by this test and will fully cover repair costs for the damaged site," the company stated.

The Fengyun X3L, an extended-range SUV priced between ¥119,900 and ¥159,900, was launched on September 17. Prior to the failed stunt, CHERY AUTO’s Executive Vice President Li Xueyong had promoted the event on social media, touting the challenge’s extreme difficulty due to Tianmen Mountain’s 20- to 45-degree slopes. The post has since been deleted.