Huafu Securities·2025-09-20 13:42Investment Rating - Industry rating is "stronger than the market" indicating that the overall return of the industry is expected to exceed the market benchmark index by more than 5% in the next 6 months [12]. Core Insights - The completion of the last concrete pour for the Chang-Jiu High-Speed Railway's main bridge over the Gan River marks a significant milestone, enhancing the high-speed rail network in China and supporting regional economic development [2][4]. - The Western Land-Sea New Corridor has achieved a milestone of over 1 million TEUs (Twenty-foot Equivalent Units) in cargo shipments this year, reflecting a year-on-year growth of 72.5%, indicating robust growth in logistics and transportation capabilities [3]. - The Chinese government has set ambitious targets for railway expansion, aiming for a total railway mileage of approximately 200,000 kilometers by 2035, which includes 70,000 kilometers of high-speed rail, creating substantial market opportunities for the rail transit equipment industry [4]. Summary by Sections Industry Development - The Chang-Jiu High-Speed Railway, part of the "Eight Vertical and Eight Horizontal" high-speed rail network, will connect Nanchang and Jiujiang, covering a distance of 138 kilometers with a design speed of 350 km/h, contributing to the modernization of the transportation system in Jiangxi Province [2]. - The Western Land-Sea New Corridor has expanded its operational routes to 24, significantly enhancing the logistics network in western China, with a focus on major ports and cities [3]. Market Opportunities - The "14th Five-Year Plan" outlines a goal for railway operating mileage to reach 165,000 kilometers by 2025, with high-speed rail accounting for 50,000 kilometers, indicating a strong growth trajectory for the rail transit equipment sector [4]. - The projected construction of approximately 35,000 kilometers of railway, including 20,000 kilometers of high-speed rail from 2026 to 2035, presents vast market potential for companies involved in rail transit equipment [4]. Recommended Companies - China CNR Corporation: A leading global supplier of rail transit equipment, maintaining a strong position in the industry [4]. - China Railway Signal & Communication Corporation: A top provider of rail transit control systems, recognized for its technological advancements [4]. - Times Electric: A leading supplier of traction and conversion systems, consistently leading the domestic market [4]. - Sifang Control: A key supplier in the field of high-speed rail monitoring, focusing on safety assurance [4]. - Shenzhou High-Speed Railway: A leader in intelligent operation and maintenance equipment for rail transit, serving a wide range of clients [4]. - Huifeng Technology: Specializes in rail transit operation and maintenance equipment, offering integrated solutions [4].