Core Insights - The "China Local Government Bond Blue Book (2025)" was released, providing a comprehensive review of the local bond market in 2024 and analyzing current development characteristics and challenges [1][2] - The blue book highlights three main characteristics of local government bonds in 2025: significant increase in new issuance limits, accelerated replacement rhythm, and broader investment areas [1] Group 1 - The local bond market is expected to continue expanding steadily, optimizing its structure, and enhancing efficiency while supporting high-quality development [2] - The fiscal and tax system reform will deepen, aiming to clarify the relationship between central and local governments and promote changes in local incentive systems and behavior [2] - Local government bonds are positioned as a key tool for macroeconomic regulation amidst external pressures, particularly in the context of tariff disputes [1]