Xiaomi Corporation's second quarter showed a company being squeezed from both ends of its business at once: a surging memory-chip bill eating into its core smartphone margins, and its smart EV, AI, and other new initiatives segment still reporting a loss even as vehicle deliveries grow. Revenue for the three months ended June 30, 2026, fell 6.1% year-on-year to CNY108.92 billion (US$16.13 billion), and the company's preferred profitability gauge, adjusted net profit, nearly halved, down 42.6% to CNY6.22 billion — a far steeper decline than the top line, signaling that cost pressure, not just demand, is doing the damage.

Merida said its full-year 2026 business was still set to grow, supported by stable currency conditions, near-complete inventory reduction, and a stronger-than-expected rebound in lower-end bicycle demand in China. The bicycle maker outlined the outlook as the first-half pretax profit margin improved and product mix conditions became more balanced across key segments.

China has introduced five automotive chip certification and accreditation industry standards aimed at easing a key obstacle to domestic semiconductor adoption: getting locally designed chips qualified for production vehicles.

LED packaging maker Everlight Electronics said it will sell its Tongluo plant in Miaoli to Sinbon for NT$3.458 billion (US$108.5 million), a move expected to strengthen its capital allocation as it shifts investment toward higher-growth businesses. The company also said its new Thailand factory, built partly to reduce geopolitical risk, is scheduled to begin mass production in the second half of 2027.

Global auto sales in the first half of 2026 show Toyota still firmly in first place, while the gap between No. 2 Volkswagen and No. 3 Hyundai Motor Group has narrowed sharply. Volkswagen's heavy dependence on China has dragged sales lower, while Hyundai Motor Group has held up through diversified geopolitical exposure, local production, and a flexible product mix. Market attention is now turning to whether Hyundai Motor Group is on the verge of overtaking Volkswagen for the No. 2 spot.

Tesla's push to deepen its presence in the autonomous vehicle market through a new phase of its Robotaxi deployment has drawn renewed industry attention, as the company aims to bring fully autonomous taxis closer to commercial reality this August.

Mitsubishi Motors will launch its new all-electric SUV, the ASX VR-e, in Australia and New Zealand in the fourth quarter of 2026, with the model supplied through contract manufacturing by Foxconn-backed Foxtron Vehicle Technologies. The move marks the first time a Taiwan-made EV will enter the sales channel of a global legacy automaker under a white-label arrangement.

Aftermarket (AM) parts and automotive camera maker Hushan Autoparts saw its first-half 2026 operations impacted by US tariff policies and surging memory and IC prices, though long-term growth trends remain unaffected, said chairman Yingzhi Chen. He added that the company's focus in the second half will be new factory capacity, a new drone camera business, and investments in Japanese auto parts makers, with the aim of entering the original equipment (OE) and AM markets.

Horizon Robotics is preparing its next-generation Journey 7 (J7) automotive AI chip family for mass production in 2027, aiming to extend its lead in China's L2+ assisted-driving market into the higher end of autonomous-driving computing.

Sales of hybrid vehicles have surged in Taiwan due to range anxiety and still-inadequate charging infrastructure, and carmakers are leaning into this trend by stepping up efforts in this market segment.

Chinese autonomous driving company WeRide is considering expansion into Australia, South Korea, Japan, and Southeast Asia as it steps up overseas growth. The move could widen access to driverless transport services for global users, while intensifying competition among Chinese self-driving firms seeking new markets beyond China.