Core Viewpoint - The import and export trade of China's engineering machinery is showing a positive growth trend, with significant increases in both export and import values, indicating a robust recovery in the industry [1]. Group 1: Trade Data - In September 2025, China's engineering machinery import and export trade amounted to $5.505 billion, a year-on-year increase of 29.1% [1]. - The import value reached $234 million, reflecting an 18.5% year-on-year growth [1]. - The export value was $5.271 billion, marking a 29.6% year-on-year increase [1]. Group 2: Market Trends - Zhejiang Securities believes that the increasing overseas market share of domestic engineering machinery manufacturers will support the continued growth of exports [1]. - The domestic market is experiencing a bottoming out and upward trend, driven by demand from agriculture, forestry, and municipal projects, which is boosting small excavator demand [1]. - Domestic manufacturers are making breakthroughs in the mining machinery sector, and there is growing demand for large and super-large excavators due to water conservancy needs and the gradual initiation of domestic replacement demand [1]. Group 3: Demand Drivers - Bohai Securities identifies clear growth logic in downstream demand for engineering machinery, driven by ongoing projects such as hydropower stations and urban renewal initiatives [1]. - The gradual reduction of tariff disturbances in major global regions will further highlight the cost-performance advantages of domestic engineering machinery [1]. - The industry is expected to continue its recovery in prosperity as large-scale equipment replacement policies are further deepened [1].

Market Overview - The Shanghai Composite Index rose by 0.86% to close at 3403.95 points, with a daily high of 3417.31 points [1] - The Shenzhen Component Index increased by 0.64% to close at 10354.22 points, reaching a high of 10418.44 points [1] - The ChiNext Index saw a rise of 1.01%, closing at 2083.14 points, with a peak of 2103.37 points [1] ETF Market Performance - The median return for stock ETFs was 0.66%, with the highest return from the Fortune Growth Enterprise 50 ETF at 2.31% [2] - The highest performing industry ETF was the CCB CSI All Share Securities Company ETF, yielding 3.71% [2] - The top thematic ETF was the Dachen CSI Engineering Machinery Theme ETF, which achieved a return of 9.98% [2] ETF Performance Rankings - The top three ETFs by return were: - Dachen CSI Engineering Machinery Theme ETF (9.98%) - Huafu CSI Securities Company Pioneer Strategy ETF (4.61%) - E Fund CSI 300 Non-Bank Financial ETF (4.22%) [4][5] - The ETFs with the largest declines included: - Guotai CSI Photovoltaic Industry ETF (-1.35%) - Huaan CSI Photovoltaic Industry ETF (-1.27%) - Ping An CSI Photovoltaic Industry ETF (-1.23%) [4][5] ETF Fund Flows - The top three ETFs by fund inflow were: - Huatai Baichuan CSI 300 ETF (inflow of 761 million yuan) - Southern CSI 500 ETF (inflow of 581 million yuan) - Huaxia CSI A500 ETF (inflow of 458 million yuan) [6][7] - The ETFs with the largest outflows included: - Huabao CSI All Share Securities Company ETF (outflow of 442 million yuan) - Huatai CSI Dividend ETF (outflow of 401 million yuan) - Fortune CSI Composite Index ETF (outflow of 191 million yuan) [6][7] ETF Margin Trading Overview - The top three ETFs by margin buying were: - Huaxia Shanghai Stock Exchange Sci-Tech Innovation Board 50 ETF (563 million yuan) - Huatai Baichuan CSI 300 ETF (391 million yuan) - Guotai CSI All Share Securities Company ETF (378 million yuan) [8][9] - The highest margin selling amounts were for: - Huatai Baichuan CSI 300 ETF (33.976 million yuan) - Huaxia Shanghai Stock Exchange 50 ETF (20.749 million yuan) - Huaxia Shanghai Stock Exchange Sci-Tech Innovation Board 50 ETF (4.698 million yuan) [8][9] Industry Insights - Guoyuan Securities is optimistic about the overall recovery of the engineering machinery industry, suggesting a focus on export chain targets with strong overseas production capabilities and diversified clients [10] - Huachuang Securities anticipates accelerated recovery in the industry due to increased project planning and special bond issuance, alongside rigid demand for equipment updates and regulatory interventions [10]