CHINA RAILWAY(HK:00390) Mei Ri Jing Ji Xin Wen·2026-01-10 14:36Core Viewpoint - China Railway Fifth Group Co., Ltd. (CRFG) has been ordered by the Ministry of Housing and Urban-Rural Development to undergo a business suspension for 180 days, effective from December 16, 2025, to June 14, 2026, during which it cannot undertake new projects under its top-level construction qualifications [2][3]. Company Status - CRFG is a key member of China Railway, a Fortune Global 500 company, established in 1950 and restructured in 1999. It operates 18 subsidiaries, 7 regional headquarters, 33 operational subsidiaries, and 18 overseas offices, focusing on investment, design, construction, and management of various engineering projects [5]. - The company has a registered capital of 7.615 billion yuan and total assets of 86.3 billion yuan, employing around 20,000 staff and possessing 8 top-level construction qualifications [6]. Regulatory Actions - The suspension is due to unspecified reasons, indicated as "***", and the company has a record of poor behavior in its qualifications [3]. - On October 20, 2025, another company under the China Railway umbrella, China Railway Engineering Design Consulting Group Co., Ltd., faced penalties, reducing its engineering qualifications for a year [4]. - In October 2024, CRFG's subsidiary was fined 60,000 yuan for safety violations leading to a railway accident [4]. - In October 2025, CRFG was listed on a black list for failing to meet construction site cleanliness standards [4]. Procurement Issues - The Army Logistics Department has suspended CRFG from participating in military procurement activities due to alleged performance issues [5].