Dongguan Securities·2025-12-26 10:36Investment Rating - The report maintains an "Overweight" rating for the basic chemical industry, expecting the industry index to outperform the market index by over 10% in the next six months [28]. Core Insights - As of December 25, the Shenwan Basic Chemical Index increased by 6.2% over the past two weeks, outperforming the CSI 300 Index by 4.2 percentage points, ranking second among 31 Shenwan industries. Year-to-date, the index has risen by 32.8%, surpassing the CSI 300 Index by 14.9 percentage points, ranking seventh among the 31 industries [2][9]. - All sub-sectors of the Shenwan Basic Chemical Index saw gains in the past two weeks, with the chemical fiber sector up 10.2%, plastics up 8.9%, and chemical products up 5.8% [11]. - Among the 406 listed companies in the Shenwan Basic Chemical Index, 328 saw their stock prices rise, with Yuan Chuang Co., Shen Jian Co., and Dongcai Technology leading with increases of 108.4%, 77.6%, and 47.4% respectively [13]. Summary by Sections Market Review - The Shenwan Basic Chemical Index has shown strong performance, with significant gains across various sub-sectors, indicating robust market conditions [9][11]. Chemical Product Price Trends - Recent price movements include an increase in PTA by 8.32% and a slight rise in urea by 0.35%, while lithium hexafluorophosphate and synthetic ammonia saw declines of -3.43% and -2.46% respectively [16][17]. Key Industry News - The National Development and Reform Commission and the Ministry of Commerce released the "Encouraged Foreign Investment Industry Directory (2025 Edition)," which includes new categories such as bio-based chemicals [21][22]. - A significant oil discovery was made in the Bohai Sea, further solidifying China's offshore oil and gas resource reserves [22]. Industry Outlook - The report highlights the importance of the coal chemical industry, especially in light of new standards for clean and efficient coal utilization, which could present investment opportunities [24]. - The refrigerant market is expected to benefit from price increases due to supply constraints, with companies like Sanmei Co. and Juhua Co. showing significant profit growth [24][26].