再生资源行业深度（三）：中国资环集团设立，再生资源乘风而起

Industry Investment Rating - The industry rating for the environmental protection sector is Buy [2] Core Views - The establishment of China Resources Recycling Group (CRRG) as a national and functional resource recycling platform is expected to drive the formalization and marketization of the recycling industry [2][10] - The recycling industry is projected to reach a market size of 5 trillion yuan by 2025, with significant growth in sectors like waste steel, non-ferrous metals, and plastics [2][16][23] - The "Renewal + Recycling" logistics system introduced in the "Action Plan for Large-scale Equipment Renewal and Consumer Goods Replacement" will strengthen the recycling network and promote the formalization of the market [29] Key Companies and Their Roles CRRG and Its Impact - CRRG, established on October 18, 2024, aims to integrate state-owned assets and industry-leading enterprises to create a comprehensive resource recycling platform [10] - The group is backed by major state-owned enterprises like Baowu Steel, Sinopec, and China Aluminum, which are also major consumers of recycled resources, ensuring strong industry synergy [12][13] - CRRG is expected to drive the implementation of large-scale equipment renewal and consumer goods replacement policies, fostering the development of recycling clusters [10][16] Key Companies in the Recycling Sector - Dadi Ocean: Focuses on waste electrical and electronic equipment (WEEE) dismantling and hazardous waste recycling, with a strong presence in Zhejiang [49][50] - Zhongzai Zihuan: A leader in WEEE dismantling, benefiting from the supply chain pricing improvements and increased processing volumes [56][57] - LangKun Environment: Specializes in kitchen waste recycling in core cities, leveraging its biological technology for stable operations [47] - Saiens: Innovates in hazardous waste resource utilization, with potential for international expansion [47] - Yingke Recycling: A pioneer in plastic recycling, with a global supply chain and full-industry chain layout [47] - Huahong Technology: Focuses on car dismantling and has expanded into waste steel and rare earth recycling [47] Market Trends and Opportunities Policy-Driven Growth - The "Action Plan for Large-scale Equipment Renewal and Consumer Goods Replacement" sets clear targets for sectors like car dismantling and WEEE recycling, with car recycling volumes expected to double by 2027 and WEEE recycling volumes to increase by 30% [16][17] - The policy also supports the development of reverse logistics systems and tax incentives for recycling enterprises, further boosting the industry [16][17] Recycling Network Development - The integration of waste classification and recycling networks, along with the "Renewal + Recycling" logistics system, will enhance the efficiency and formalization of the recycling industry [29] - Companies with strong recycling channels, such as Dadi Ocean and Zhongzai Zihuan, are well-positioned to benefit from these developments [49][56] Overseas Experience and Localization - The U S experience with waste management companies like WM highlights the importance of localized comprehensive recycling and single-category deep processing [31][32] - China is expected to replicate the U S model, with CRRG playing a key role in driving the formalization and marketization of the recycling industry [38][46] Investment Opportunities - Companies with strong recycling channels and deep processing capabilities, such as Dadi Ocean, Zhongzai Zihuan, and LangKun Environment, are recommended for investment [47][49][56] - The growth potential in sectors like car dismantling, WEEE recycling, and hazardous waste resource utilization is significant, driven by policy support and market demand [16][17][47]