CITIC Securities: High oil prices are expected to accelerate the expansion of high-quality new energy vehicle companies overseas.

CITIC Securities pointed out that the US-Iran war is developing towards a long-term direction, with the "blockade" of the Strait of Hormuz pushing up oil prices. CITIC Securities believes that the sustained high oil prices will enhance the competitiveness of pure electric and low-fuel hybrid models globally, and Chinese car companies' technological advantages are expected to accelerate the transformation into global market share. CITIC Securities believes that since the deep adjustment of the passenger vehicle sector in September 2025, the current pricing of upstream costs such as lithium carbonate and storage has fully priced in the pressure on the sector's profitability. It is recommended to pay attention to the reconsideration of the logic of high oil prices bringing opportunities for domestic high-quality new energy vehicle companies to go global, and to focus on recommending companies that have clear overseas expansion plans, as well as leading high-end domestic car companies.