GAC Cambodia KD Plant Begins Production with 10,000-Unit Annual Capacity

Simply Wall St lowered its fair value estimate for XPeng to US$19.06 from US$22.36, as updated Street targets for the Chinese automaker now range roughly between US$12 and US$24. JPMorgan, Citi and BofA all kept positive ratings while trimming their price targets into the US$18 to US$24 range, with JPMorgan cutting from US$27 to US$24 and UBS moving from US$18 to US$12. UBS highlighted XPeng as an emerging Chinese automaker in humanoid robotics, pointing to a robotics capital raise of over US$900m at a valuation above US$6.3b as longer term optionality beyond the core auto business, while Barclays pointed to the L03 model as important for second half 2026 results and for XPeng reaching 10,000 overseas deliveries by Q4. On the bearish side, UBS and Barclays flagged pressure on the core auto business from intense competition, supply chain issues, short product cycles and lower than expected Q3 guidance, and BofA reduced its 2026 to 2028 volume assumptions by mid single digit percentages. The revised model also adjusted CN¥ revenue growth to 19.66% from 21.95%, net profit margin to 2.46% from 3.44%, future P/E to 56.08x from 44.61x, and the discount rate to 12.88% from 12.04%.

Several US auto industry groups have sent a letter to President Trump urging him to block Chinese-made automobiles from entering the US market, ahead of a planned US-China summit next week. Among the groups that signed the letter are the Alliance for Automotive Innovation, which includes passenger car manufacturers from Japan, the US and Europe, and the National Automobile Dealers Association. Chinese-made passenger cars are effectively shut out of the US market by high tariffs and other measures, and the letter, dated the 17th, calls for the current policy to be maintained. It argues that easing entry restrictions would "undermine fair competition."