[JPMorgan Chase: Downgrade CATL H shares to "neutral", OEM profitability has come under pressure] On October 20, JPMorgan Chase issued a research report saying that it downgraded CATL's H shares to "neutral", A shares maintained an "overweight" rating, and lowered CATL's profit forecast. At the same time, it maintained CATL A shares as the only battery stocks covered by the bank with an "overweight" rating. CATL will announce its third-quarter results after the market closes today (20th). The stock price fell today, hitting a new low in more than a year since the end of August last year. JPMorgan Chase said there are growing concerns that industry profitability is deteriorating faster than expected and that profits in the electric vehicle industry chain are undergoing a broader redistribution. The reduction of battery consumption tax, export tax rebate rate and increasing trade barriers are coming one after another, which has put the profitability of OEMs under pressure. The bank pointed out that CATL may be the first to be affected, but it may eventually become the bigger winner, because whether it passes on the cost pressure or absorbs part of the burden on its own, the final result may be increased customer stickiness. The bank said CATL's H shares are at a premium to onshore A shares, which is expected to reflect onshore investors' more cautious stance on policy uncertainty, while global funds appear to have bet on strong long-term potential growth.