Shanghai, November 27th (Xinhua) -- On November 26th, US auto stocks fell, with General Motors dropping 9%, Stellantis falling more than 5%, and Ford falling more than 2%.
As one of the largest automobile manufacturers in the United States, General Motors' stock price has always been relatively stable, with few significant declines in the past thirty years. Only in June 2018, due to trade and concerns about the company's growth prospects, General Motors' stock price experienced a decline of about 9% at that time.
Analysts generally believe that the stock prices of automotive stocks have plummeted due to investors' concerns about trade. Currently, several automotive giants in the United States have established their production bases in Mexico. According to data from the Mexican Automobile Industry Association, in the first half of this year, the top ten car manufacturers with factories in Mexico produced a total of 1.4 million cars, of which 90% were sold across the border to the United States.
Among the American car companies currently setting up factories in Mexico, General Motors has the highest proportion, followed by Ford and Stellantis, whose stock prices were hit the hardest on Tuesday.
At the same time, in the context of the global automotive industry's transition to electrification, General Motors' traditional fuel vehicles still account for a large proportion. Compared with emerging electric vehicle manufacturers such as Tesla, its market share in the electric vehicle market is relatively small, and its transformation progress is slow. It has not been able to quickly occupy market share, which has also to some extent affected investors' confidence in its future development.