Why Tesla Rivals Nio, Xpeng And Li Auto Are Trading Lower In Hong Kong Today

Shares of U.S.-listed Chinese electric automakers Nio Inc NIO, Xpeng Inc XPEV, and Li Auto Inc LI  traded lower in Hong Kong on Wednesday.

The Macro Factors: The stocks extended losses, with the overall benchmark Hang Seng Index trading down about 1.50% at around 11:45 A.M. (local time). The slide came amid the subdued global cues that weighed heavy on investor sentiment.

A stricter COVID-19 lockdown in Shanghai is expected to roil auto production as it has already forced two major suppliers, Tesla Inc TSLA and General Motors GM, to shut their plants. 

Meanwhile, stocks of U.S.-listed Chinese electric automakers also had a subdued ending in the US markets on Tuesday, with the overall index trading lower as investors feared Fed rate hikes would slow the economy.