Investment Rating - The report maintains a "Buy" rating for the forklift industry, indicating a strong investment opportunity with expected returns exceeding the market benchmark by over 15% [3][15]. Core Insights - Forklift sales are experiencing structural improvements, with increased working hours and utilization rates, suggesting sustained demand from downstream sectors [3][8]. - The report highlights a significant year-on-year increase in forklift sales, with total sales reaching 119,700 units in November 2025, a 14.1% increase compared to the previous year. Domestic sales accounted for 75,200 units, up 23.9%, while exports reached 44,500 units, a 0.7% increase [8]. - The average working hours and utilization rates for forklifts have risen, with November 2025 figures showing 108 hours and 66.3% respectively, compared to 106 hours and 58.5% in October 2025, indicating improved operational efficiency [8][11]. - Policy support is expected to enhance growth certainty in the forklift sector, with government initiatives aimed at boosting domestic demand and infrastructure development in logistics [8]. Summary by Sections Sales Performance - Forklift sales in November 2025 reached 119,700 units, marking a 14.1% year-on-year increase. Domestic sales were 75,200 units, up 23.9%, while exports were 44,500 units, a 0.7% increase [8]. Operational Metrics - The average working hours for forklifts increased to 108 hours in November 2025, with a utilization rate of 66.3%, both showing improvements from the previous month and year [8][11]. Policy Environment - The report emphasizes the positive impact of government policies on the forklift industry, particularly the focus on domestic demand and the development of smart logistics infrastructure [8].

Core Viewpoint - The article discusses the valuation challenges faced by various industries in the A-share market, highlighting that despite global competitiveness, many sectors are undervalued due to market dynamics and investor behavior [1][10]. Group 1: Industry Valuations - Home Appliances: Midea (13x), Haier (12.3x), Hisense (12.73x) [1] - Engineering Machinery: Sany (23.6x), XCMG (20x), Zoomlion (17x) [2] - Forklifts: Hangcha (16x), Heli (14x) [2] - Tires: Zhongce (12x), Sailun (16x), Senqilin (14x) [2] - Heavy Trucks: China National Heavy Duty Truck (12x) [2] Group 2: Market Dynamics - The industries mentioned are characterized by low-frequency consumption and strong cyclicality, leading to fluctuating performance and valuations based on government subsidies and market conditions [1][2]. - The article suggests that a P/E ratio around 15x is reasonable for stable growth industries, providing a risk premium over ten-year government bonds [1][2]. Group 3: Investment Behavior - Institutional investors hold significant pricing power in these markets, making it challenging for individual investors to influence valuations [1][2]. - The article emphasizes that high expectations can lead to investment disasters, and that long-term returns may be better for established companies despite their low valuations [3][10]. Group 4: Valuation as an Incentive Mechanism - Valuation is described as an incentive mechanism that reflects market competition and societal evolution, where higher valuations encourage innovation and investment in growth sectors like technology [4][5][6]. - Conversely, traditional industries with stable earnings often receive lower valuations due to a lack of societal encouragement for new investments [7][10]. Group 5: Global Comparisons - The article notes that mature manufacturing companies globally, such as Toyota and Caterpillar, also exhibit low valuation multiples, indicating a broader trend beyond the A-share market [14][15][16].

Core Insights - The engineering machinery industry is expected to maintain steady growth in 2025, driven by domestic infrastructure investment and overseas market expansion, achieving a high-quality development pattern of "stable growth, structural optimization, and improved efficiency" [10] - The report maintains a "leading the market" rating for the engineering machinery sector, highlighting the potential of intelligent logistics and mining machinery as key investment areas [10] Industry Performance Overview - The engineering machinery industry index has outperformed major market indices, with a year-to-date increase of 33.14% as of December 21, 2025, significantly surpassing the Shanghai Composite Index and Shenzhen Component Index [9][14] - The revenue and net profit of the engineering machinery industry grew by 10.84% and 19.72% year-on-year, respectively, in the first three quarters of 2025, indicating a recovery in operational performance [21][23] Intelligent Logistics Equipment - The demand from e-commerce has driven rapid transformation in the logistics market, with the logistics total amount reaching 263.2 trillion yuan in the first three quarters of 2025, a year-on-year increase of 5.4% [38][49] - Policies at both national and local levels are establishing a supportive framework for the development of intelligent logistics, focusing on technology empowerment, equipment upgrades, and scenario innovation [10][55] Mining Machinery and Tunnel Engineering Equipment - The "14th Five-Year Plan" emphasizes the development of deep-earth economy, with mining machinery showing significant work hour differentiation, particularly for non-road dump trucks [10][19] - The demand for intelligent mining equipment is accelerating due to stringent policies related to carbon neutrality and safety regulations, driving the production of advanced machinery [10][21] Investment Recommendations - The report suggests focusing on companies involved in intelligent logistics equipment such as Anhui Heli and Hangcha Group, as well as traditional earth-moving machinery like SANY Heavy Industry and Zoomlion [10][7] - The mining machinery sector is highlighted for its growth potential, particularly in non-road dump trucks and tunnel boring machines, with companies like Tiedao Heavy Industry and Wuxin Tunnel Equipment recommended for investment [10][7]

Core Viewpoint - Hangcha Group (603298) has launched its new intelligent production base, Hangcha Group Xiangfan Technology Park Phase IV, which began production in November 2023 [1] Group 1 - The new facility covers an area of 76.4 acres and has an investment exceeding 100 million yuan [1] - The annual production capacity includes 10,000 sets of automation equipment, 10,000 mobile robots, 5,000 inspection robots, 1,000 stackers, 2,000 shuttle cars, and 100,000 meters of conveyor lines [1]

Core Viewpoint - Hangcha Group (603298) emphasizes the importance of Jindao Technology (301279) as a key supplier of reducers, indicating a strong reliance on this partnership for product development [1] Group 1 - Hangcha Group prioritizes existing supply chain development for new product launches, highlighting the strategic importance of Jindao Technology in its operations [1] - The product specifications of Jindao reducers are continuously expanding, reflecting the growing collaboration between Hangcha Group and Jindao Technology [1] - A significant portion of Hangcha's forklift-type AGV product line is now equipped with Jindao reducers, showcasing the integration of Jindao's products into Hangcha's offerings [1]

Group 1 - The core viewpoint of the article is that Hangcha Group (603298) has clarified the specifications of its humanoid intelligent logistics robot, specifically mentioning that the 22 degrees of freedom refer to the robot body excluding the end effector (dexterous hand) [1] - The 22 degrees of freedom are designed to meet the current operational requirements in the logistics sector [1]

Group 1 - The core viewpoint of the article is that Hangcha Group (603298) is exploring advancements in its wheeled logistics humanoid robots by potentially integrating a combination of rotary and linear motion systems in the future [1] Group 2 - Currently, the company's wheeled logistics humanoid robots utilize a rotary joint module, which consists of a harmonic reducer and a motor [1]

Group 1 - The core viewpoint of the article is that Hangcha Group (603298.SH) is optimistic about the production capacity of its AGV/AMR business, which currently exceeds 5,000 units annually and is expected to increase further as the business expands [2][3] Group 2 - Investors inquired about the expected production capacity of the newly added AGV/AMR investments on the investor interaction platform [2] - Hangcha Group confirmed that the current annual production capacity for AGV/AMR is over 5,000 units [2]

Group 1 - Hangzhou With Unlimited Future Intelligent Technology Development Partnership has been established, focusing on information technology consulting services and investment activities [1] - The partnership is co-funded by Anheng Information (688023), Hangzhou Forklift Group (603298), and a subsidiary of Beijing Galaxy General Robotics Co., Ltd., among others [1] - The registered capital of the partnership is 90 million yuan [2] Group 2 - The partnership is located in Binjiang District, Hangzhou, Zhejiang Province, and is registered with the Hangzhou High-tech Industrial Development Zone Market Supervision Administration [2] - The business scope includes technology transfer, technical promotion, and investment activities using self-owned funds [2] - The partnership is classified under the software and information technology services industry [2]

Group 1 - A new company named Hangzhou Embodied Infinite Future Intelligent Technology Development Partnership (Limited Partnership) has been established, focusing on information technology consulting services and investment activities using its own funds [1] - The company is jointly funded by Anheng Information, Hangzhou Forklift Group (603298), and a wholly-owned subsidiary of Beijing Galaxy General Robotics Co., Ltd., Hangzhou Galaxy General Robotics Co., Ltd. [1]