Core Viewpoint - The optical fiber and cable industry is experiencing significant price increases and supply tightness for the mainstream G.652.D optical fiber, with major manufacturers unable to meet their own orders and turning to external procurement [1] Group 1: Market Trends - The demand structure in the optical fiber and cable industry is undergoing transformation due to the continuous release of demand from AI computing networks, 6G research, and global digital infrastructure [1] - The global optical fiber and cable market is expected to enter a high prosperity cycle lasting 2 to 3 years [1] Group 2: Investment Recommendations - Yongxing Securities maintains an "overweight" rating for the communication industry and suggests focusing on investment opportunities related to optical fibers and cables [1] - Open Source Securities previously indicated that the booming global AI development may continue to drive demand for optical fibers and cables in data centers and DCI interconnections [1] Group 3: Supply and Demand Dynamics - In the short term, global manufacturers have limited capacity for expansion, which may lead to a supply-demand imbalance [1] - The demand and prices for optical fibers and cables are expected to maintain a steady upward trend [1]

Core Viewpoint - Changfei Optical Fiber and Cable (06869.HK) experienced a significant increase in stock price, rising over 16% to reach 62.15 HKD, with a trading volume of 1.465 billion HKD [1] Group 1 - The stock price of Changfei Optical Fiber and Cable rose by 16.42% [1] - The current trading price is reported at 62.15 HKD [1] - The total trading volume reached 14.65 billion HKD [1]

Core Viewpoint - Changfei Optical Fiber (601869) and its cable segment (06869) experienced a significant increase of over 16%, with a current price of HKD 62.15 and a trading volume of HKD 1.465 billion, indicating strong market interest and potential growth in the optical fiber sector [1] Industry Summary - The G.652.D standard optical fiber, which has been a market mainstay, is expected to see a notable price increase and supply tightness by Q4 2025, with some major manufacturers unable to meet their own orders and turning to external sourcing [1] - The demand structure in the optical fiber and cable industry is undergoing transformation, driven by the continuous release of demand from AI computing networks, 6G research, and global digital infrastructure [1] - Yongxing Securities maintains an "overweight" rating for the communications sector, suggesting that investors should pay attention to opportunities related to optical fiber and cable [1] - According to Kaisheng Securities, the booming global AI sector is likely to sustain demand for optical fiber and cables, particularly in data center interconnections, with limited production capacity among global manufacturers leading to a supply-demand imbalance [1] - The demand and prices for optical fiber and cables are expected to continue to rise steadily in the short term [1]

Core Viewpoint - The stock of Yangtze Optical Fibre and Cable (06869) has surged over 16%, reaching HKD 62.15 with a trading volume of HKD 1.465 billion, driven by significant price increases and supply tightness in the G.652.D ordinary optical fiber market expected in Q4 2025 [1] Industry Summary - The optical fiber and cable industry is undergoing a structural change in demand, with major manufacturers facing inventory shortages that cannot meet their own orders, leading them to seek external procurement [1] - According to Yongxing Securities, the global optical fiber and cable market is anticipated to enter a high prosperity cycle lasting 2 to 3 years, fueled by ongoing demand from AI computing networks, 6G research, and global digital infrastructure [1] - Open Source Securities previously indicated that the booming global AI sector is likely to continue driving demand for optical fibers and cables, particularly in data centers and DCI interconnections, with limited production capacity among global manufacturers potentially leading to a supply-demand imbalance [1]

Group 1 - On January 23, 2026, Alibaba-W (09988), Pop Mart (09992), and Tencent Holdings (00700) ranked as the top three companies by trading volume in the Southbound Stock Connect, with transaction amounts of 4.748 billion, 2.660 billion, and 2.614 billion respectively [1] - In the Southbound Stock Connect for the Shenzhen-Hong Kong Stock Connect, Alibaba-W (09988), Tencent Holdings (00700), and Pop Mart (09992) also held the top three positions, with transaction amounts of 3.322 billion, 1.798 billion, and 1.370 billion respectively [1] Group 2 - In the Southbound Stock Connect, the top active trading companies included Alibaba-W (09988) with a net buy amount of -0.595 billion, Pop Mart (09992) with a net buy amount of +0.480 billion, and Tencent Holdings (00700) with a net buy amount of +0.396 billion [2] - In the Shenzhen-Hong Kong Stock Connect, Alibaba-W (09988) had a net buy amount of -0.895 billion, Tencent Holdings (00700) had a net buy amount of -0.156 billion, while Pop Mart (09992) recorded a net buy amount of +0.268 billion [2]

Core Viewpoint - The announcement of the first batch of 15 leading smart factories marks a significant leap in China's manufacturing sector from digitization and networking to a new stage characterized by deep applications of artificial intelligence, representing the highest level of intelligent manufacturing in the country [1][3][21]. Group 1: Overview of Leading Smart Factories - The first batch of leading smart factories includes companies from key industries such as equipment manufacturing, raw materials, and electronic information, showcasing the breadth and depth of China's intelligent manufacturing development [1][19]. - The 15 selected factories are distributed across 10 provinces and regions, including Shanghai, Jiangsu, Zhejiang, Shandong, and Hubei, reflecting a "multi-point breakthrough and full coverage" layout [2][20]. Group 2: Characteristics of Leading Smart Factories - Leading smart factories integrate advanced manufacturing technologies, next-generation information technologies, and lean management concepts, taking on the responsibility of exploring future manufacturing models [3][21]. - To qualify as a leading smart factory, six key elements are required: industry leadership, AI technology application leadership, innovative smart manufacturing model leadership, performance leadership, replication leadership, and nurturing plan leadership [6][24]. Group 3: Case Studies of Selected Companies - Changfei Fiber Optic has become a benchmark in the electronic information sector by integrating AI algorithms throughout its production process, achieving a drawing speed of 3,500 meters per minute with micro-level precision control [9][27]. - Weichai Power has implemented a digital and intelligent management system that reduces customer maintenance costs by an average of 30% through remote diagnostics and alerts for every engine sold [30]. - Baosteel is innovating with an AI-driven predictive manufacturing model that anticipates market demand, optimizing the entire supply chain and production process, with plans to establish 1,200 AI scenarios and 25 benchmark production lines by 2027 [14][34]. Group 4: Future Directions and Strategic Goals - The development of leading smart factories aligns with national strategies to promote intelligent, green, and service-oriented manufacturing, aiming to enhance China's position in the global supply chain [34][35]. - The exploration of future manufacturing models focuses on achieving high customization, complex production, and maintaining high efficiency, low costs, and high quality [28][36].

人民财讯1月21日电，企查查APP显示，近日，长飞激光（武汉）智能装备有限责任公司成立，法定代 表人为郑昕，经营范围包含：电子元器件与机电组件设备制造；电子元器件制造；电力电子元器件制 造；机械设备销售等。企查查股权穿透显示，该公司由长飞光纤（601869）全资持股。 ...

Core Viewpoint - On January 20, the Hang Seng Index fell by 0.29%, closing at 26,487.51 points, while southbound funds through the Stock Connect recorded a net buy of HKD 36.63 billion [1]. Group 1: Market Activity - The total trading volume for the Stock Connect on January 20 was HKD 972.83 billion, with a net buy of HKD 36.63 billion [1]. - The Shanghai Stock Connect accounted for HKD 594.79 billion in trading volume with a net buy of HKD 34.44 billion, while the Shenzhen Stock Connect had a trading volume of HKD 378.04 billion and a net buy of HKD 2.18 billion [1]. Group 2: Active Stocks - In the Shanghai Stock Connect, Tencent Holdings was the most actively traded stock with a transaction amount of HKD 37.26 billion, followed by Xiaomi Group-W and Alibaba-W with transaction amounts of HKD 30.51 billion and HKD 23.91 billion, respectively [1]. - Tencent Holdings had a net buy of HKD 5.03 billion, despite its closing price dropping by 1.48% [1]. - China Mobile recorded the highest net sell amount of HKD 6.37 billion, closing flat [1]. Group 3: Shenzhen Stock Connect Activity - In the Shenzhen Stock Connect, Tencent Holdings also led with a transaction amount of HKD 26.62 billion, followed by Alibaba-W and SMIC with transaction amounts of HKD 25.02 billion and HKD 19.36 billion, respectively [2]. - Meituan-W had the highest net buy amount of HKD 2.54 billion, although it closed down by 1.17% [2]. - SMIC experienced the largest net sell amount of HKD 5.42 billion, closing down by 3.25% [2].

Core Insights - On January 20, 2026, Tencent Holdings (00700), Xiaomi Group-W (01810), and Alibaba-W (09988) were the top three companies by trading volume in the Southbound Stock Connect, with trading amounts of 3.726 billion, 3.051 billion, and 2.391 billion respectively [1] - In the Shenzhen-Hong Kong Stock Connect, Tencent Holdings (00700), Alibaba-W (09988), and SMIC (00981) led the trading volume, with amounts of 2.662 billion, 2.502 billion, and 1.936 billion respectively [1] Southbound Stock Connect Trading Activity - The top active companies in the Southbound Stock Connect included: - Tencent Holdings (00700) with a trading amount of 3.726 billion and a net buying amount of +0.503 billion [2] - Xiaomi Group-W (01810) with a trading amount of 3.051 billion and a net buying amount of +0.287 billion [2] - Alibaba-W (09988) with a trading amount of 2.391 billion and a net selling amount of -5.778 million [2] - Other notable companies included Pop Mart (09992) and SMIC (00981) with trading amounts of 2.178 billion and 2.123 billion respectively [2] Shenzhen-Hong Kong Stock Connect Trading Activity - The top active companies in the Shenzhen-Hong Kong Stock Connect included: - Tencent Holdings (00700) with a trading amount of 2.662 billion and a net buying amount of +0.160 billion [2] - Alibaba-W (09988) with a trading amount of 2.502 billion and a net buying amount of +7.257 million [2] - SMIC (00981) with a trading amount of 1.936 billion and a net selling amount of -5.420 billion [2] - Other notable companies included Xiaomi Group-W (01810) with a trading amount of 1.603 billion and a net buying amount of +0.108 billion [2]

Group 1 - Southbound funds net bought Hong Kong stocks worth HKD 3.663 billion today [1] - The top net purchases included Tencent Holdings at HKD 663 million, Meituan-W at HKD 573 million, and Xiaomi Group-W at HKD 395 million [1] - Continuous net buying trends were observed for Tencent over 10 days totaling HKD 10.62116 billion and Alibaba over 7 days totaling HKD 4.75655 billion [1] Group 2 - Southbound funds net sold shares of SMIC at HKD 717 million and China Mobile at HKD 637 million [1] - China Mobile has seen continuous net selling for 12 days, amounting to HKD 9.29936 billion [1] - Hua Hong Semiconductor and Xiaomi also experienced net buying trends over multiple days, with Hua Hong totaling HKD 1.33901 billion over 4 days and Xiaomi HKD 1.42914 billion over 3 days [1]