Industry Rating - The industry rating for the electrolytic aluminum sector is maintained at "Outperform" [1] Core Viewpoints - The electrolytic aluminum sector is characterized by a perfect blend of resilience and dividend value, indicating a revaluation process is underway [1][3] - The sector's average dividend yield is projected to be 6.0% by the end of 2024, ranking it first among major high-dividend industries, with China Hongqiao's yield reaching 13.7% [2][19] - The report emphasizes the transition of the electrolytic aluminum stocks from being viewed as highly cyclical assets to becoming quality scarce assets with both price elasticity and dividend support [9][19] Summary by Sections 1. Current Dividend Yield of the Electrolytic Aluminum Sector - As of the end of 2024, the weighted average dividend yield for the electrolytic aluminum sector is estimated at 6.0%, leading among high-dividend industries [2][19] - China Hongqiao's dividend yield is notably high at 13.7%, significantly above other industry leaders [20][21] - The overall trend indicates a clear increase in dividend levels across the sector, with many companies raising their dividend guidance for 2025 [24] 2. Sources of Dividend Value Beyond Resilience - The sector's profitability is expected to remain high due to a tightening supply-demand balance, with domestic production capacity nearing its ceiling [6][28] - The report highlights that the capital expenditure peak has passed, leading to improved asset structure and quality within the sector [45][52] - The transition from a focus on scale expansion to quality enhancement is evident, with a clear path for converting high profits into cash flow and shareholder returns [6][39] 3. Will the Valuation of the Electrolytic Aluminum Sector Increase? - Historical comparisons with coal and China Hongqiao suggest that the market is willing to assign higher valuations to dividend-paying assets, recognizing their asset quality and stable cash flows [4] - The price-to-earnings (PE) ratios for leading companies in high-dividend sectors have shown significant improvement since 2023, indicating potential for further valuation increases [4][19] - The overall trend in the sector shows a marked increase in dividend payout ratios, with several companies indicating higher future dividends [24] 4. Stock Selection in the Electrolytic Aluminum Sector - The report recommends focusing on high-dividend companies such as China Hongqiao and Zhongfu Industrial, as well as those with increasing dividend potential like China Aluminum and Shenhuo [5] - The sector is viewed as a combination of offensive aluminum price exposure and defensive dividend asset characteristics, suggesting a favorable investment outlook [5][9]

Core Insights - The Ministry of Industry and Information Technology emphasizes the importance of technological innovation in the development of new battery technologies, particularly solid-state and metal-air batteries [1][2]. Industry Overview - Metal-air batteries utilize common metals like zinc, magnesium, and aluminum in conjunction with oxygen or seawater, representing a hybrid energy storage and fuel technology [3]. - The global market for metal-air batteries is projected to grow from $296 million in 2023 to $852 million by 2031, with a compound annual growth rate (CAGR) exceeding 14% [5]. Technological Advantages - Metal-air batteries offer significant advantages over lithium-ion batteries, including energy density that can exceed 3 to 4 times that of lithium-ion batteries, efficient charging, and longer range [4]. - They are considered environmentally friendly, aligning with carbon neutrality goals, as they do not release harmful substances during manufacturing, usage, or recycling [4]. Market Dynamics - The zinc-air battery segment currently holds the largest market share, being the most commercially mature, while aluminum-air batteries follow [8]. - Several domestic companies are actively engaging in the metal-air battery sector, with notable stock performance; for instance, Shanghai Xiba has seen a year-to-date increase of nearly 241% [10][11]. Academic Contributions - Multiple universities in China have achieved breakthroughs in metal-air battery technology, enhancing the development of high-performance catalysts and battery designs [9]. Company Developments - Companies such as Penghui Energy, Yun Aluminum, and China Aluminum are involved in the metal-air battery supply chain, with significant stock price increases observed in 2023 [10][12]. - Notable stock performance includes Yun Aluminum with a year-to-date increase of over 70% and Penghui Energy with an increase of nearly 15% in financing [11][12].

Investment Rating - Industry Rating: Recommended [4] Core Viewpoints - The report indicates that the CPI is lower than expected, which enhances the probability of interest rate cuts, leading to an upward trend in metal prices [28][44] - Precious metals are experiencing price fluctuations, with gold and silver prices showing a downward trend recently, but the long-term outlook remains positive due to macroeconomic factors [28][44] - The report highlights the ongoing geopolitical tensions and their impact on market dynamics, particularly in the context of U.S.-China trade relations and the potential for further economic negotiations [45][48] Summary by Sections Precious Metals - This week, COMEX gold fell by 3.30% to $4,126.90 per ounce, while COMEX silver dropped by 4.38% to $48.41 per ounce. SHFE gold decreased by 6.17% to ¥938.10 per gram, and SHFE silver fell by 7.49% to ¥11,332.00 per kilogram [28][30] - The gold price has increased over 60% this year, but recent fluctuations indicate a potential short-term correction as the market enters an overbought zone [44][48] - The report notes a significant reduction in holdings for major ETFs, with SPDR gold ETF decreasing by 9,186.33 ounces and SLV silver ETF by 89,770.80 ounces [30] Base Metals - In the LME market, copper rose by 3.21% to $10,947.00 per ton, aluminum increased by 2.81% to $2,856.50 per ton, zinc went up by 2.62% to $3,019.50 per ton, and lead climbed by 2.28% to $2,016.50 per ton [54] - SHFE market showed similar trends with copper up by 3.95% to ¥87,720.00 per ton, aluminum up by 1.51% to ¥21,225.00 per ton, zinc up by 2.48% to ¥22,355.00 per ton, and lead up by 3.05% to ¥17,595.00 per ton [54] - The report emphasizes that the supply of copper is facing challenges, with a projected production growth of only 1.4% in 2025, which is below the demand growth rate of approximately 3% [9][22] Small Metals - Magnesium prices decreased by 0.45% to ¥17,840 per ton, while demand remains stable, leading to a reduction in inventory levels [18] - Molybdenum and vanadium prices are under pressure, with molybdenum iron prices down by 2.12% to ¥27.75 per ton, reflecting cautious market sentiment [19] Investment Recommendations - The report suggests that the long-term outlook for gold remains positive due to ongoing concerns about global debt and monetary easing, with U.S. debt exceeding $38 trillion and projected budget deficits [20][49] - The report identifies several gold mining companies as potential beneficiaries of rising gold prices, including Chifeng Jilong Gold Mining, Shandong Gold, and China National Gold Group [20][49] - For silver, the report anticipates a supply shortage of approximately 3,660 tons by 2025, supporting a bullish outlook for silver prices [49]

Core Viewpoint - China Aluminum Corporation plans to establish a joint venture with its controlling shareholder, China Aluminum Group, and other partners, contributing 300 million RMB for a 20% stake in the new company [1][2]. Group 1 - The board of directors of China Aluminum Corporation approved the proposal to establish a joint venture during the fourth meeting of the ninth board on August 27, 2025 [1]. - The joint venture will be formed with China Aluminum Group, Yunnan Copper Co., Ltd., Yunnan Chihong Zinc & Germanium Co., Ltd., and China Aluminum Capital Holdings Co., Ltd. [1]. - The company will contribute 300 million RMB in cash and physical assets to hold a 20% equity stake in the joint venture [1]. Group 2 - On October 24, 2025, the company and its partners signed the capital contribution agreement for the establishment of the joint venture [2]. - The assessment and filing of the high-purity gallium production line assets for the company's contribution are progressing smoothly [2]. - The company will comply with relevant laws and regulations to disclose subsequent developments in a timely manner [2].

Core Viewpoint - China Aluminum (02600) has entered into a capital contribution agreement with several partners to establish a joint venture focused on the rare metals industry, which aligns with the company's strategic development plan [1] Group 1: Joint Venture Details - The joint venture will be established on October 24, 2025, with China Aluminum Group, China Aluminum, Yunnan Copper, Chihong Zinc & Germanium, and China Aluminum Capital as partners [1] - The ownership structure of the joint venture will be as follows: China Aluminum Group 25%, China Aluminum 20%, Yunnan Copper 20%, Chihong Zinc & Germanium 20%, and China Aluminum Capital 15% [1] - The registered capital of the joint venture is set at RMB 1.5 billion, with China Aluminum Group contributing RMB 375 million and China Aluminum contributing RMB 300 million [1] Group 2: Strategic Implications - The joint venture is designed to extend the rare metals industry chain and focus on downstream industries, aiming to develop advanced materials that are terminalized, productized, and high-end [1] - Participation in the joint venture allows China Aluminum to leverage the resource integration capabilities of China Aluminum Group, enhancing its competitive edge in the rare metals functional materials sector [1] - The strong business correlation between China Aluminum and the joint venture is expected to facilitate business cooperation, resource sharing, and industrial synergy, while also mitigating risks associated with independent downstream expansion [1]

Group 1 - China Aluminum (02600.HK) announced a capital contribution agreement to establish a joint venture with Chalco Group, Yunnan Copper, Chihong Zn & Ge, and Chalco Capital, with respective ownership stakes of 25%, 20%, 20%, 20%, and 15% [1] - The joint venture will not be a subsidiary of China Aluminum, and its financial performance will not be consolidated into the company's accounts [1] - The transaction constitutes a connected transaction under Chapter 14A of the Hong Kong Listing Rules due to the relationships among the parties involved [1] Group 2 - The proposed business scope of the joint venture includes the processing of waste electrical and electronic products, subject to approval by relevant authorities [2] - General projects include research and development of new materials technology, manufacturing and sales of electronic materials, sales of high-purity elements and compounds, and sales of non-ferrous metal alloys [2] - The joint venture will also engage in the smelting of rare earth metals and common non-ferrous metals, as well as the manufacturing of metallurgical equipment [2]

Group 1 - China Aluminum (02600.HK) announced a capital contribution agreement to establish a joint venture with Chalco Group, Yunnan Copper, Chihong Zinc & Germanium, and Chalco Capital, with respective ownership stakes of 25%, 20%, 20%, 20%, and 15% [1] - The joint venture will not be a subsidiary of China Aluminum, and its financial performance will not be consolidated into the company's accounts [1] - Chalco Group is the controlling shareholder of China Aluminum, while Yunnan Copper, Chihong Zinc & Germanium, and Chalco Capital are subsidiaries of Chalco Group, making this transaction a related party transaction under Hong Kong Listing Rules Chapter 14A [1] Group 2 - The proposed business scope of the joint venture includes the processing of waste electrical and electronic products, which requires approval from relevant authorities before operations can commence [2] - Other general business activities include research and development of new materials technology, manufacturing and sales of electronic materials, sales of high-purity elements and compounds, and various metal alloy sales and manufacturing [2] - The joint venture will also engage in the smelting of rare earth metals and common non-ferrous metals, as well as the manufacturing of metallurgical equipment [2]

Core Viewpoint - China Aluminum (601600) announced a joint investment agreement with several partners to establish a joint venture focused on the rare metals industry, which aligns with the company's strategic development plan [1] Group 1: Joint Venture Details - The joint venture will be established with China Aluminum Group, Yunnan Copper (000878), Chihong Zinc & Germanium (600497), and China Aluminum Capital, with respective shareholdings of 25%, 20%, 20%, 20%, and 15% [1] - The registered capital of the joint venture is set at RMB 1.5 billion, with China Aluminum Group and the company contributing RMB 375 million and RMB 300 million, respectively [1] - The joint venture will not be a subsidiary of the company, and its financial performance will not be consolidated into the company's accounts [1] Group 2: Strategic Implications - The joint venture aims to extend the rare metals industry chain, focusing on downstream industries and developing advanced materials [1] - Participation in the joint venture allows the company to leverage China Aluminum Group's resource integration capabilities, enhancing its global competitive advantage in the rare metals functional materials sector [1] - The strong business correlation between the company and the joint venture facilitates collaboration, resource sharing, and industrial synergy, while also mitigating risks associated with independent expansion into downstream industries [1]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內 容 概 不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不對因本公告全部或任何部份內容而產生或因倚賴該等內容而引致的 任 何 損 失 承 擔 任 何 責 任。 公 告 關連交易 成立合資公司 董 事 會 謹 此 宣 佈，於2025年10月24日，中 鋁 集 團、本 公 司、雲 南 銅 業、 馳 宏 鋅 鍺 及 中 鋁 資 本 訂 立 出 資 協 議，據 此，各 方 同 意 共 同 出 資 設 立 合 資 公 司。合 資 公 司 成 立 後，中 鋁 集 團、本 公 司、雲 南 銅 業、馳 宏 鋅 鍺 及 中鋁資本將分別持有合資公司25%、20%、20%、20%及15%的 股 權，合 資 公 司 將 不 會 成 為 本 公 司 之 附 屬 公 司，其 財 務 業 績 亦 不 會 合 併 到 本 公 司 賬 目 中。 於 本 公 告 日 期，中 鋁 集 團 為 本 公 司 的 控 股 股 東，雲 南 銅 業、馳 宏 鋅 鍺 及 中 鋁 資 本 為 中 鋁 集 團 的 附 屬 公 司。因 此，中 鋁 ...

股票代码：601600 股票简称：中国铝业 公告编号：临 2025-057 中国铝业股份有限公司 关于拟参股设立合资公司暨关联交易的进展公告 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈述或 者重大遗漏，并对其内容的真实性、准确性和完整性承担个别及连带责任。 中国铝业股份有限公司（以下简称"公司"或"中国铝业"）于 2025 年 8 月 27 日召开的第九届董事会第四次会议审议批准了《关于公司拟参股设立合资公司的议 案》，同意公司与控股股东中国铝业集团有限公司（以下简称"中铝集团"）及其附 属公司云南铜业股份有限公司（以下简称"云南铜业"）、云南驰宏锌锗股份有限公 司（以下简称"驰宏锌锗"）、中铝资本控股有限公司（以下简称"中铝资本"）共同 出资设立合资公司，其中，公司拟以货币资金及实物资产出资人民币 3 亿元，持有 合资公司 20%的股权。有关前述事项详情，请见公司于 2025 年 8 月 28 日披露的《中 国铝业股份有限公司关于拟参股设立合资公司暨关联交易的公告》（公告编号：临 2025-053）。 2025 年 10 月 24 日，公司与中铝集团、云南铜业、驰宏锌锗及中铝资本就上述 ...