CH Auto-Export rebate cut; MELCO; Previews - Asia Shipbuilding/Defense; Dingli; Container shipping update; KR Power correction feedback

This J.P. Morgan APAC Specialist Sales note (13 October 2026) is a cross-sector roundup covering China autos, Mitsubishi Electric (MELCO), Asia shipbuilding/defense, Dingli, container shipping and Korean power. China's MoF announced it will cut the passenger NEV export VAT rebate from 13% to 9% starting 1 April 2027, earlier than expected; only passenger NEVs are affected (not ICEs or NEV heavy-duty trucks). On JPM's sensitivity, BYD/Leapmotor could see ~18% 2027E EPS hit, Geely ~10%, Great Wall/Chery ~6-8%. Investors remain cautious and see FY27 downside risk as not fully priced; watch the EU's 15-16 Oct decision on HEV/PHEV export quotas. On MELCO, the Energy division targets solutions revenue rising from the FY26 guidance of ¥100bn (16% margin) to ¥200bn by FY30 (28% margin), and sentiment is improving off the bottom. Korea shipbuilding PTs were cut across the board with HD Hyundai Marine Solution preferred;