Automotive stocks continued their recent downward trend. At the time of writing, LI AUTO-W (02015) fell 4.51% to HK$69.85, CHERY AUTO (09973) dropped 3.07% to HK$30.9, and GAC GROUP (02238) declined 1.94% to HK$3.04. The market movement follows news that the auto market began 2026 with promotions featuring ultra-long-term, low-interest car loans. Several automakers successively launched "seven-year low-interest" financial plans, breaking from the conventional one-to-five-year term for new car loans. However, reports indicate this ultra-long-term loan business is now being tightened. Multiple automakers have confirmed that related policies will only be extended until April 30, 2026, with no decision yet on whether they will be renewed afterward. Galaxy Securities pointed out that 2026 marks the beginning of a phase-out period for new energy vehicle support policies. Pressure in the auto market initially appeared in the first quarter, with March sales showing a marginal recovery but still declining year-on-year. Furthermore, as many automakers are choosing to launch new models during the Beijing Auto Show in April, market wait-and-see sentiment is notably high. Shenwan Hongyuan Group, however, expressed optimism, stating that with the upcoming Beijing Auto Show, it is positive that new models will stimulate fresh demand, expecting industry beta to accelerate its recovery in April.