1. Report Industry Investment Rating No relevant content provided. 2. Core Viewpoints of the Report - The market's focus is shifting towards medium - quality entities within industries such as steel, coal, real estate, local state - owned construction enterprises, and non - bank finance. In Q3, it is advisable to explore large - scale medium - quality entities in each industry. For institutions with high risk tolerance, there are opportunities to compress the liquidity premium of some high - quality private enterprises. For industries with low overall risks like public utilities, regular allocation is sufficient [5]. - For ultra - long credit bonds, it is time to gradually take profits, shorten the duration for defense, and switch to more liquid varieties, waiting for the next opportunity to attack [6]. - In Q3, different industries present various investment opportunities and risks. For example, the construction industry may see marginal improvement in prosperity but still face pressure; the steel industry has strong expectations of marginal improvement in fundamentals; the coal industry needs to select high - quality entities for exploration; the real estate industry has high - valued state - owned enterprises with certain investment potential; the non - ferrous metal industry has a differentiated prosperity; and the cement industry has limited opportunities [7]. 3. Summary According to Related Catalogs 3.1 Q3 Ultra - long Credit Bond Strategy: Gradually Take Profits and Wait for Subsequent Attack Opportunities 3.1.1 Primary Issuance - In Q2, the supply of ultra - long credit bonds increased month - on - month, with large industrial central state - owned enterprises remaining the main financing force. The total issuance in H1 was 539.8 billion yuan, and Q2 increased by 63% month - on - month, accounting for 9.27% of all credit bonds, but still lower than Q3 last year. The issuers were mainly industrial, accounting for about 72%, and large central state - owned enterprises such as State Grid had large issuance volumes [16]. - Since early July, the bond market has adjusted, and the supply of ultra - long credit bonds may be frustrated in the short term, and its subsequent recovery remains to be observed [18]. 3.1.2 Yield Analysis - To obtain significant excess returns from extending the credit duration, either interest rate decline or spread compression must occur, and the amplitude should be large enough [31]. - The trigger for the sharp decline of ultra - long credit bonds in recent years is mostly the reversal of institutional behavior. Currently, although it is predicted that there will be a double - bull market for stocks and bonds in the second half of the year, the short - term risk cannot be ignored due to the impact of the "stock - bond seesaw" on market sentiment [34]. - In terms of capital gains, the odds of ultra - long credit bonds are decreasing; the one - two - level arbitrage space is difficult to find; and the coupon protection ability is weak, making it difficult to increase the winning rate. Therefore, it is recommended to gradually take profits and switch to more liquid varieties such as 5Y bank secondary perpetual bonds [37]. 3.1.3 Strategy - For most institutions, it is time to gradually take profits from ultra - long credit bonds. The reasons include the difficulty in continuing the excess returns in the future, the fragility of the market's optimistic sentiment, the lack of obvious coupon advantages and protection ability, and the relatively small advantage compared with 5Y bank secondary perpetual bonds [46][51]. 3.2 Q3 Industrial Bond Strategy: Explore Industry Allocation Opportunities under "Anti - involution" 3.2.1 Construction - In 2025, the construction industry has been under pressure since the beginning of the year, and the downward trend in prosperity continued into Q2. In Q3, although factors such as accelerated capital arrival, the "anti - involution" initiative, and overseas growth are expected to bring marginal improvement in prosperity, the industry will still be under pressure overall, and industry concentration may further increase, benefiting leading central state - owned enterprises [48][52]. - In terms of bond valuation, the industry's valuation declined steadily in the second quarter. The spread of central state - owned enterprises narrowed, and some local state - owned enterprises had a large decline in valuation, but the valuation of some enterprises was still unstable [55]. - The strategy is to mainly explore subsidiaries of central state - owned enterprises and selectively allocate local state - owned enterprises. For institutions with low risk tolerance, continue to explore high - valued subsidiaries of central state - owned enterprises or leading local state - owned enterprises; for institutions that can accept a certain degree of credit quality downgrade, local state - owned enterprises provide greater return space, but it is not recommended to over - explore them [56]. 3.2.2 Steel - In Q2, steel prices fluctuated downward, but rose rapidly in early July under the support of cost and the expectation of "anti - involution" policies [60]. - In terms of fundamentals, supply is cautiously released, demand recovery in Q2 was less than expected, and total inventory is expected to further decline. In the short term, steel prices and steel enterprise profits are expected to be strong, but there is a risk of a callback [61][65][67]. - Medium - quality entities have strong motivation to compress spreads, and it is expected that the spreads of medium - grade mainstream entities such as HBIS and Shandong Steel will continue to compress. They can be appropriately allocated [71]. 3.2.3 Coal - In the second quarter, the price of thermal coal fluctuated downward and then rebounded at the end of the quarter, while the price of coking coal rose briefly in April and then fell, also rebounding at the end of June [74]. - In terms of fundamentals, the supply structure is relatively loose, and production inspections may lead to subsequent tightening. The demand for thermal coal is seasonally improving, while the probability of "oversupply" of coking coal is relatively large. Port inventories are continuously being depleted [76][80]. - It is expected that the coal price rebound may continue, with thermal coal being stronger than coking coal. In Q3, exploration still needs to select high - quality entities, and Jinmei Group is still the target of exploration by mainstream institutions [7][80]. 3.2.4 Real Estate - In Q3, the downward pressure on the real estate industry may continue to increase. The real estate sector is currently the highest - valued sector among state - owned enterprises, with a certain thickness of coupon and potential for exploration. Although the market is concerned about the emotional fluctuations brought about by Vanke's support willingness, the fluctuations are relatively controllable under the attraction of absolute returns, and it has cost - effectiveness [7]. 3.2.5 Non - ferrous Metals - In the non - ferrous metals industry, for gold, the market is mainly speculating on the Fed's interest rate cut expectation, and the long - term upward trend of the central price remains unchanged; for copper, the mining end is generally tight but with marginal increments, and the demand side is weak; for aluminum, the inventory has been depleted more than expected, and the demand - side risk is small, and the profit space of electrolytic aluminum plants is expected to continue [7]. - In terms of strategy, the valuations of high - quality but over - valued entities such as Nanshan Group, Hongqiao New Materials, and Luoyang Aluminum Industry are expected to continue to decline, while there are few opportunities for other entities [7]. 3.2.6 Cement - In Q2, cement prices almost declined unilaterally, and manufacturers faced the risk of losses. Attention should be paid to the implementation of over - production governance under "anti - involution." Currently, except for Hongshi, the spreads of the cement sector are basically compressed within 30bp, and it is difficult to obtain excess returns, so the overall opportunities in the cement sector are limited [7]. 3.2.7 Strategy - In Q3, explore large - scale medium - quality entities in each industry. The current spread of entities with a spread of 40 - 50bp is about 20bp different from that of leading entities, and it is expected that the spread will be compressed in Q3 [5]. 3.3 Q2 Industrial Bond Market Review: Convergent Trends and Deviation from Fundamentals 3.3.1 Issuance and Financing Situation - In Q2, industrial bonds had a large net inflow of 732.1 billion yuan, and public utilities led in net financing [14]. 3.3.2 Yield and Spread Trends - After the yield was repaired in Q2, it fluctuated at a low level. The trading logic was that the loose capital tone ran through the entire quarter, and the performance of different industries in the industrial bond market was not significantly differentiated, and the spread trend deviated from fundamentals [9]. 3.3.3 Liquidity - Since Q2, the liquidity of credit bonds has been continuously improving, and the trading heat of ultra - long credit bonds reached its peak in mid - June [14]. 3.3.4 Credit Risk - In Q2, there were 2 entities with substantial bond defaults and 4 domestic entities with rating/ outlook downgrades, but the overall credit risk was controllable [9].

Report Industry Investment Rating No information provided in the content. Core Viewpoints - Recent listing and expansion of Sci - tech Bond ETFs have catalyzed the rush to buy Sci - tech bonds, with the constituent bonds of Sci - tech Bond ETFs performing prominently. The report outlines new changes in the Sci - tech bond market and analyzes investment opportunities brought by the issuance of Sci - tech Bond ETFs [4]. - Sci - tech bonds refer to bonds issued by enterprises in the science and technology innovation field with funds mainly used for science and technology innovation, including Sci - tech Notes and Science and Technology Innovation Corporate Bonds. The core contents of the policy include expanding the issuer scope, introducing incremental funds, and optimizing issuance and trading systems [4]. - Since its launch, the issuance scale of Sci - tech bonds has been increasing, mainly issued by state - owned and central enterprises. As of July 23, the issuance amounts of industrial, financial, and urban investment Sci - tech bonds this year were 600.9 billion, 34.5 billion, and 53.6 billion respectively [4]. - The current outstanding balance of Sci - tech bonds exceeds 2 trillion yuan, accounting for 7% of all credit bonds. Outstanding Sci - tech bonds are mainly of medium - to - high grades and within 3 - year terms, and are mostly distributed in traditional industries. Thanks to the issuance of Sci - tech Bond ETFs, the yields of constituent bonds are significantly lower than those of green bonds and ordinary bonds of the same issuer [4]. Summary by Directory What is a Sci - tech Bond? - **Policy Changes**: Since 2017, relevant policies on Sci - tech bonds have been continuously optimized. In 2025, with the breakthrough of AI technology, the support for Sci - tech bonds in the bond market has been deepened. Policies such as the innovation of the "technology board" in the bond market and the introduction of risk - sharing tools are expected to promote the expansion of Sci - tech bonds [10]. - **"Five Articles" Policy Support**: In March - April this year, the "Five Articles" financial policy was improved, which has a large support for Sci - tech bonds. Measures include optimizing the statistical system, financial institution division of labor, product service system, and encouraging bond market financing [16]. - **Concept and Variety Analysis**: Sci - tech bonds mainly include Sci - tech Notes and Science and Technology Innovation Corporate Bonds. They have similar definitions but differences in issuer identification, use of funds, etc. [20]. - **Help for Private Enterprises**: The launch of Sci - tech bonds aims to guide funds to the science and technology innovation field, helping private and small - and - medium - sized science and technology enterprises to finance. Currently, 90% of Sci - tech bonds are issued by central and state - owned enterprises, while private enterprises account for less than 10%. Central and state - owned enterprises issuing Sci - tech bonds are mainly from traditional industries, while private enterprises are from technology - based industries [28]. Primary Market: Significant Increase in Sci - tech Bond Supply - **Continuous Expansion of Issuance Scale**: Since its launch, the issuance scale of Sci - tech bonds has been increasing. From 2022 - 2024, the issuance scales were 243.2 billion, 743.4 billion, and 1178.3 billion respectively, with an average annual compound growth rate of 120%. As of July 23, 2025, the cumulative issuance was 2858.3 billion yuan [31]. - **Recent Rush to Buy**: Since March this year, with strong policy support, the market's enthusiasm for subscription has increased. After March 6, the spread between the coupon rate and the lower limit of the bid rate of Sci - tech bonds has been significantly compressed by 54bp [35]. - **Issuer Perspective**: Sci - tech bonds are mainly issued by state - owned and central enterprises, accounting for 55% and 40% respectively. Industrial issuers account for 88% of the issuance scale, while urban investment issuers account for only 10% [38]. - **Industry Perspective**: The issuers of Sci - tech bonds are mostly from traditional industries, with the construction and decoration industry having the largest issuance scale. The issuance scale of technology - based industries such as communication, electronics, and computer needs to be improved. The urban investment platforms with high issuance amounts are industrial investment platforms [44]. Secondary Market: Seize Investment Opportunities from the Expansion of Sci - tech Bond ETFs - **Reasons for Institutional Buying**: Institutions' core motives for allocating Sci - tech bonds include capital gain advantages due to the decline in yields of constituent bonds with the expansion of Sci - tech Bond ETFs, the expectation of regulatory optimization of investment - end assessment, and the potentially lower default risk of Sci - tech bonds compared to ordinary corporate credit bonds [51]. - **Rapid Decline in Valuation**: In early July, the first batch of 10 Sci - tech Bond ETFs were quickly approved and listed, and the concentrated position - building of funds significantly compressed the yields of constituent bonds. For example, the valuation of the Sci - tech Bond ETF constituent bonds of China Power Investment Ronghe Leasing Co., Ltd. is about 10bp lower than that of other bonds of the same issuer [57]. - **Continuous Increase in Outstanding Balance**: As of July 23, 2025, the outstanding balance of Sci - tech bonds accounts for 6.87% of all credit bonds, an increase of 1.5% compared to the beginning of the year [64]. - **Characteristics of Outstanding Bonds**: There are currently 2011 outstanding Sci - tech bonds with an amount of 205.25 billion yuan. In terms of implicit ratings, medium - to - high - grade bonds account for 93%. In terms of remaining terms, bonds with a remaining term of less than 3 years account for 74% [68]. - **Valuation Distribution**: Industrial Sci - tech bonds are mainly distributed in industries such as construction and decoration, coal, and public utilities. High - valuation Sci - tech bonds are mainly in industries such as basic chemicals, power equipment, and pharmaceutical biology. Urban investment Sci - tech bonds are mainly concentrated in a few provinces, and the valuation in some economically weaker provinces is relatively high [74]. - **Bond Selection**: When selecting bonds, it is recommended to focus on issuers with relatively high Sci - tech bond valuations. A list of state - owned and central enterprise industrial issuers, urban investment platforms, and financial enterprises with an implicit rating of not less than AA and an outstanding Sci - tech bond balance of not less than 1 billion yuan is provided [76]. How to View Sci - tech Bond ETFs? - **Yield Comparison**: Since the issuance of Sci - tech Bond ETFs, their average yield is about 0.1%, slightly higher than the 0.08% of credit bond ETFs. The annualized yield range of Sci - tech bonds is approximately 2.8% - 5.5%, while that of credit bond ETFs is 2.4% - 4.2%. The yield of "Fuguo CSI AAA Science and Technology Innovation Corporate Bond ETF" is 3bp higher than the Sci - tech bond index [78]. - **Increased Trading Activity**: After the launch of Sci - tech Bond ETFs, the constituent bonds have been in high demand, and both liquidity and market performance have significantly improved. In July, the number of transactions of constituent bonds of Sci - tech Bond ETFs doubled compared to June. The valuation decline of constituent bonds of different terms is more than 3bp, significantly higher than that of non - constituent bonds [87][84]. - **Valuation Difference**: For most issuers, the valuation of constituent bonds of Sci - tech Bond ETFs is significantly lower than that of ordinary bonds. It is recommended to pay attention to issuers whose constituent bond valuations have not been significantly compressed, as there may be room for further compression in the future [88][89].

Core Viewpoint - China Railway has successfully launched the first high-end equipment shield machine, "Chuan Shan Jia No. 1," designed for extreme cold conditions, marking a significant advancement in domestic manufacturing capabilities for tunnel construction equipment [2][3] Group 1: Product Features - The "Chuan Shan Jia No. 1" shield machine has a diameter of 3.72 meters and a length of approximately 135 meters, specifically designed to operate in permafrost conditions at temperatures as low as -40 degrees Celsius [2] - The machine features a 15.5-inch rolling cutter and a design that prevents mud cake formation while ensuring efficient excavation [2] - It incorporates low-temperature resistant materials and components, along with specialized heating equipment to maintain stable operation in extreme cold [2] Group 2: Technological Advancements - The shield machine has achieved breakthroughs in key technology areas, establishing a fully domestic supply chain covering control systems, monitoring, and construction equipment [3] - The independently developed main bearing, considered the "heart" of the shield machine, has surpassed the performance of imported bearings and is priced at only 60% of the import cost, with a manufacturing lead time of just one-fourth [3] Group 3: Manufacturing and Economic Impact - The China Railway Intelligent Equipment Manufacturing Base aims to become the first intelligent assembly line for full-face tunnel boring machines in the Southwest region, targeting an annual production of 14 shield machines and 50 sets of tunnel construction equipment [3] - The expected annual output value of the base is projected to reach 1.8 billion yuan, creating over a thousand jobs [3]

Core Viewpoint - The construction of the Southern Resettlement Area at Guangzhou Baiyun Airport has reached a significant milestone with the early completion of the first batch of resettlement houses, highlighting the city's commitment to major livelihood projects [1] Group 1: Project Overview - The Baiyun Airport Phase III expansion is the largest airport construction project in China's civil aviation history, involving the resettlement of 18,000 households and 62,000 people, with a total planned construction area of approximately 14 million square meters and total investment exceeding 100 billion yuan [1] - The project ensures the land requirements for the airport's expansion of nearly 23 square kilometers and promotes the redevelopment of 39 surrounding villages, aiming to create a livable and economically integrated new city [1][2] Group 2: Construction and Management - China Railway (601390) is responsible for the construction of multiple plots within the Southern Resettlement Area, including residential, commercial, cultural, and educational facilities, and has significantly shortened the project construction cycle through effective coordination and management [2] - The Guangzhou Airport Construction Investment Group prioritizes livelihood and resettlement, aiming to create high-quality communities and implementing green building standards while utilizing new construction technologies [2] Group 3: Future Developments - The project is set to achieve full topping out of the resettlement houses this year, meeting rigid resettlement needs and ensuring the timely return of residents, which will support the smooth operation of the airport's Phase III main project [3]

Investment Rating - The report maintains an "Overweight" rating for the construction and engineering sector and a "Buy" rating for non-metallic building materials [1][11]. Core Insights - The Yajiang Hydropower Station has officially commenced construction with a total investment of approximately 1.2 trillion yuan, differing structurally from the Three Gorges Dam [3]. - The Yarlung Tsangpo River downstream hydropower project in Tibet will implement a run-of-river development approach, constructing five tiered power stations to enhance power generation efficiency through cascading water flow [3]. - The average cost of newly approved hydropower projects in 2023 is estimated at 20,344 yuan per kW, suggesting an expected installed capacity of 60 million kW for the Yarlung Tsangpo project [3]. Summary by Sections Project Overview - The Yajiang Hydropower Station project is expected to catalyze future developments, with the next phases likely involving "bidding" and "performance release" [4]. - The project structure is anticipated to differ significantly from traditional reservoir dams, such as the Three Gorges Dam [4]. Comparative Analysis - The Zangmu Hydropower Station, the first large-scale hydropower station on the Yarlung Tsangpo River, has a total installed capacity of 510,000 kW and a total investment of 9.6 billion yuan, with a construction period of nearly eight years [5]. - The Dadu River Hard Beam Package Hydropower Station, with an installed capacity of 1.116 million kW, showcases advanced construction techniques that may parallel those of the Yajiang project [6]. Supplier Insights - The report identifies potential suppliers for the Yajiang project based on bidding data from the Zangmu Hydropower Station, highlighting companies such as China Power Construction, China Energy Engineering, and Huaxin Cement as key players [7]. - The report notes significant stock price increases for several suppliers since July 21, with China Power Construction and Huaxin Cement both seeing a rise of 33% [7]. Investment Recommendations - The commencement of the Yajiang Hydropower Station is expected to generate new demand for construction and materials, prompting a focus on companies involved in hydropower engineering and infrastructure, such as China Power Construction and China Railway [8]. - Material suppliers like Huaxin Cement and equipment providers such as Tianqiao Hoisting are also recommended for investment consideration [8].

Market Overview - The Hong Kong stock market showed a strong performance recently, with the Hang Seng Index closing at 25,538 points, up 1.62%, marking a four-day consecutive rise [1][5] - The Hang Seng Technology Index increased by 2.48% to 5,745.74 points, while the Hang Seng China Enterprises Index rose by 1.82% to 9,241.2 points [1][5] - The total market turnover was HKD 333.07 billion, with net inflows of HKD 484 million recorded in the Hong Kong Stock Connect [1][5] US Market Insights - Reports indicate that the EU and the US are close to reaching an agreement on a 15% tariff on most products, leading to a significant rise in US stock markets [2] - The Dow Jones Industrial Average rose by 507 points or 1.1%, closing at 45,016 points, while the Nasdaq Composite closed above 21,000 points for the first time, gaining 127 points or 0.6% [2] - Major technology stocks saw gains, with Nvidia rising over 2% and Chinese concept stocks also performing well [2] Industry Outlook - The report emphasizes a positive outlook for the Hong Kong stock market, highlighting low valuations and increasing trading activity driven by a "profit-making effect" [3] - The technology sector, particularly information technology, showed significant gains, with the Hang Seng Industry Index for technology rising by 3.18% [3] - Key sectors to watch include artificial intelligence, robotics, semiconductors, and innovative pharmaceuticals, which are expected to benefit from supportive policies and low-risk interest rates in mainland China [3] Key Company Developments - China Mobile announced a research and development budget of RMB 39.1 billion for the year, achieving breakthroughs in 6G technology and leading several national technology projects [9] - Hisense reported a 22% year-on-year growth in its overseas air conditioning business, with European sales increasing by 30% [9] - China Railway Group, a major infrastructure company, is projected to have a net profit of RMB 26.8 billion for 2025, with a significant increase in overseas contracts [10]

Core Viewpoint - The commencement of the Yarlung Tsangpo River downstream hydropower project, referred to as the "Yaxia Hydropower Project," is generating significant market interest and is considered a "century project" with an estimated total investment of approximately 1.2 trillion yuan [5][6]. Group 1: Investment Opportunities - Over 20 brokerage firms have published more than 40 research reports on the Yaxia Hydropower Project, covering various sectors including macroeconomics, construction materials, machinery, real estate, chemicals, public utilities, and new energy [2][6]. - The project is expected to have a positive long-term impact on the economy, potentially increasing GDP by about 0.1 percentage points and creating approximately 200,000 jobs [7]. - The demand for construction materials, particularly cement, is projected to increase by 25% to 30% in Tibet by 2026 due to the hydropower project [9][10]. Group 2: Sector-Specific Insights - The construction sector, particularly state-owned enterprises involved in hydropower engineering, is expected to benefit significantly, with companies like China Power Construction and China Energy Engineering leading the market [8]. - The hydropower equipment sector is anticipated to see sustained demand for conventional hydropower units over the next 5 to 10 years, benefiting leading companies in this field [8]. - The civil explosives sector is also expected to experience increased demand due to the construction needs of the hydropower project, with estimates suggesting a requirement of nearly 30,000 tons of explosives over the project's duration [12]. Group 3: Market Dynamics - The Yaxia Hydropower Project is projected to account for approximately 88.7% of China's total water conservancy investment in 2024, indicating its substantial impact on the infrastructure development landscape [7]. - The project is expected to enhance the overall prosperity of the hydropower industry chain, with increased investment in project design, construction, and power generation equipment [9]. - The civil explosives market is experiencing a divergence in stock performance, with some companies seeing significant gains while others face declines, reflecting the competitive dynamics within the sector [13].

Core Viewpoint - The stock of China Railway High-tech Industry Co., Ltd. experienced an abnormal trading fluctuation, with a cumulative closing price increase of over 20% over three consecutive trading days from July 21 to July 23, 2025 [2][5]. Group 1: Stock Trading Abnormality - The company's stock price deviation over the specified period qualifies as an abnormal trading situation according to the Shanghai Stock Exchange trading rules [2][5]. - The company confirmed that there are no undisclosed significant matters related to the stock price fluctuation after self-examination and verification with the controlling shareholder, China Railway Group Limited [3][6]. Group 2: Company Operations and Major Events - The company reported that its production and operational conditions are normal, with no significant changes in market environment or industry policies [6]. - There are no major undisclosed events affecting the company, except for the ongoing share buyback plan by the controlling shareholder, which was previously disclosed [6]. - The company has not identified any media reports, market rumors, or hot concepts that require clarification or response [7]. Group 3: Sensitive Information and Board Statement - The company has not found any other significant events that could substantially impact its stock price as of the announcement date [8]. - The board confirmed that there are no undisclosed matters that should have been reported according to the relevant regulations, and previous disclosures do not require correction or supplementation [10].

Core Viewpoint - China Railway Industry (600528.SH) announced that its production and operations are normal, with no significant changes in market environment or industry policies, and there are no undisclosed major matters that should be disclosed [1] Group 1 - The company confirmed that its production and operations are functioning normally [1] - There have been no significant changes in the market environment or industry policies [1] - The company’s controlling shareholder, China Railway, is implementing a share buyback plan [1]

Group 1 - Morgan Stanley reports that the recently announced Yarlung Tsangpo River hydropower development plan in Tibet is directing funds towards engineering machinery stocks [1] - The complex terrain makes traditional machinery crucial in the early stages of the project, with Weichai Power (000338) identified as a leading enterprise in heavy-duty truck engines and construction machinery, placed on a positive catalyst watchlist with "overweight" rating and target prices of HKD 22 and RMB 24 for H-shares and A-shares respectively [1] - Sany Heavy Industry (600031) and XCMG (000425) are also recognized as leaders in large machinery, both receiving "overweight" ratings with target prices of RMB 25 and RMB 11.1 respectively [1] Group 2 - China Railway (601390) holds a 40% market share in tunnel machinery and is rated "overweight" with target prices of HKD 5 and RMB 8.2 for H-shares and A-shares respectively [1] - Traditional infrastructure stocks such as CRRC (601766) and Conch Cement (600585) have recently strengthened, indicating a market shift from risk control to support for new project launches, with CRRC receiving an "overweight" rating and target prices of HKD 6.8 and RMB 10.1 [1] - The Yarlung Tsangpo River hydropower development plan is expected to boost demand in upstream industries such as construction, machinery, cement, and steel, benefiting companies like XJ Electric (000400), Siyuan Electric (002028), and Huaming Equipment (002270) in the power equipment sector [2]