BOHAI SECURITIES·2025-07-22 12:21Investment Rating - The industry is rated as "Positive" for the next 12 months, indicating an expected increase in performance relative to the CSI 300 index [30][38]. Core Views - The Yarlung Tsangpo River downstream hydropower project officially commenced on July 19, with a total investment of approximately 1.2 trillion yuan, which is expected to generate a demand for construction machinery of around 180 billion yuan [30][11]. - Excavator sales in June 2025 reached 18,800 units, a year-on-year increase of 13.3%, with total sales for the first half of the year at 120,500 units, up 16.8% year-on-year [30][4]. - The average operating rate of construction machinery nationwide in the first half of 2025 was 44.81%, indicating stable progress in infrastructure projects [30][11]. Industry News - The Yarlung Tsangpo River downstream hydropower project officially started on July 19, 2025, with a total investment of approximately 1.2 trillion yuan [11]. - UBTECH won a procurement project for robotic equipment worth 90.5115 million yuan, marking one of the largest single procurement orders in the industry [11]. - The average operating rate of construction machinery in the first half of 2025 was 44.81%, with 15 provinces exceeding 50% [11]. Company Announcements - Dongfang Precision signed a strategic cooperation agreement with Leju Robotics on July 21, 2025, focusing on humanoid robots [18]. - Kory Technology plans to increase its wholly-owned subsidiary Kory Technology's capital by 300 million yuan [19]. Market Review - From July 16 to July 22, 2025, the CSI 300 index rose by 2.49%, while the Shenwan Machinery Equipment Industry increased by 5.05%, outperforming the CSI 300 by 2.57 percentage points [20][3]. - As of July 22, 2025, the price-to-earnings ratio (TTM) for the Shenwan Machinery Equipment Industry was 28.92 times, with a valuation premium of 126.54% compared to the CSI 300 [21][3].