Core Viewpoint - The report from Wanlian Securities highlights the rapid growth of global renewable energy installations and stable investment in global grid construction, suggesting strong competitiveness of China's power equipment products in overseas markets [1] Group 1: Transformer Exports - In July 2025, China's transformer export value reached 4.308 billion yuan, with a month-on-month increase of 2.07% and a year-on-year increase of 54.68%, indicating robust market performance [1] - Cumulative transformer exports from January to July 2025 amounted to 24.993 billion yuan, reflecting a year-on-year growth of 50.25% [1] - Exports to Asia and Africa showed significant growth, while exports to Europe and North America experienced a decline [2] Group 2: Electric Meter Exports - In July 2025, China's electric meter exports totaled 829 million yuan, with a month-on-month decrease of 7.52% and a year-on-year decrease of 12.15% [3] - Cumulative electric meter exports from January to July 2025 were 6.129 billion yuan, showing a year-on-year decline of 2.39% [3] - The Oceania region saw a recovery in exports, while Asia, Africa, and Europe experienced declines [3] Group 3: Switch Exports - In July 2025, China's switch exports amounted to 810 million yuan, with a month-on-month increase of 18.74% and a year-on-year increase of 63.88% [4] - Cumulative switch exports from January to July 2025 reached 4.851 billion yuan, reflecting a year-on-year growth of 30.90% [4] - Exports to Asia and Europe showed strong growth, while the Latin American market experienced a pullback [4] Group 4: Cable Exports - In July 2025, China's cable exports were valued at 1.909 billion yuan, with a month-on-month decrease of 8.95% but a year-on-year increase of 13.06% [5] - Cumulative cable exports from January to July 2025 reached 13.056 billion yuan, indicating a year-on-year growth of 36.45% [5] - The Asian market remained stable, while the Latin American market showed significant growth [5]

Investment Rating - The industry is rated as "outperforming the market" with an expected relative increase of over 10% in the next six months [41]. Core Insights - In July 2025, the total export value of electrical equipment was 7.856 billion, showing a month-on-month decrease of 0.50% but a year-on-year increase of 32.89%. Cumulative exports from January to July reached 49.029 billion, up 36.24% year-on-year [1][10]. - Transformers showed strong performance with a July export value of 4.308 billion, reflecting a month-on-month increase of 2.07% and a year-on-year increase of 54.68%. Cumulative exports for the first seven months were 24.993 billion, up 50.25% year-on-year [2][13]. - The export of electric meters declined, with July exports at 829 million, down 7.52% month-on-month and 12.15% year-on-year. Cumulative exports for the first seven months were 6.129 billion, down 2.39% year-on-year [3][20]. - Switch exports rebounded significantly in July, with an export value of 810 million, up 18.74% month-on-month and 63.88% year-on-year. Cumulative exports for the first seven months were 4.851 billion, up 30.90% year-on-year [4][23]. - Cable exports showed a stable performance with July exports at 1.909 billion, down 8.95% month-on-month but up 13.06% year-on-year. Cumulative exports for the first seven months were 13.056 billion, up 36.45% year-on-year [9][31]. Summary by Category Transformers - July 2025 exports reached 4.308 billion, with a month-on-month increase of 2.07% and a year-on-year increase of 54.68%. Cumulative exports from January to July were 24.993 billion, up 50.25% year-on-year [2][13]. - Exports to Asia and Africa showed high growth, with respective increases of 96.17% and 36.69% year-on-year [14]. Electric Meters - July exports totaled 829 million, reflecting a month-on-month decrease of 7.52% and a year-on-year decrease of 12.15%. Cumulative exports for the first seven months were 6.129 billion, down 2.39% year-on-year [3][20]. - The Oceania region showed a recovery, with exports increasing by 34.66% month-on-month [21]. Switches - Exports in July amounted to 810 million, with a month-on-month increase of 18.74% and a year-on-year increase of 63.88%. Cumulative exports for the first seven months were 4.851 billion, up 30.90% year-on-year [4][23]. - Exports to Asia and Europe showed strong growth, with increases of 77.37% and 69.50% year-on-year, respectively [26]. Cables - July exports were 1.909 billion, down 8.95% month-on-month but up 13.06% year-on-year. Cumulative exports for the first seven months were 13.056 billion, up 36.45% year-on-year [9][31]. - The Latin American market showed significant growth, with exports increasing by 57.57% year-on-year [32].

Core Viewpoint - The report from Wanlian Securities indicates that China's power equipment exports are performing steadily, with significant growth in various segments, driven by global renewable energy expansion and grid upgrades [1][2]. Export Performance Summary - In June 2025, the total export value of power equipment reached 7.896 billion yuan, with a month-on-month increase of 10.55% and a year-on-year increase of 43.01%. The cumulative export value from January to June 2025 was 41.173 billion yuan, reflecting a year-on-year growth of 36.90% [1]. Transformer Exports - The export value of transformers in June 2025 was 4.221 billion yuan, showing a month-on-month increase of 26.31% and a year-on-year increase of 63.04%. The cumulative export value for the first half of 2025 was 20.685 billion yuan, with a year-on-year growth of 49.36% [1][2]. Regional Export Breakdown for Transformers - In June 2025, transformer exports to North America reached a record high, with values of 5.89 billion yuan, while exports to Asia, Africa, and Europe were 1.660 billion, 0.341 billion, and 1.040 billion yuan respectively, showing year-on-year growth rates of 40.78%, 77.26%, 112.54%, and 110.64% [2]. Electric Meter Exports - The export value of electric meters in June 2025 was 896 million yuan, with a month-on-month decrease of 4.83% and a year-on-year decrease of 22.03%. The cumulative export value for the first half of 2025 was 5.300 billion yuan, reflecting a year-on-year growth of 3.22% [3]. Regional Export Breakdown for Electric Meters - In June 2025, electric meter exports to Latin America showed significant recovery, while exports to Asia, Africa, and Europe declined. The export values were 0.245 billion, 0.272 billion, and 0.281 billion yuan respectively, with year-on-year changes of -18.71%, -41.48%, and -8.03% [3]. Switch Exports - The export value of switches in June 2025 was 682 million yuan, with a month-on-month increase of 2.43% and a year-on-year increase of 30.90%. The cumulative export value for the first half of 2025 was 4.041 billion yuan, reflecting a year-on-year growth of 25.83% [4]. Regional Export Breakdown for Switches - In June 2025, switch exports to Latin America reached a record high, while exports to Asia and Europe saw declines. The export values were 0.422 billion, 0.029 billion, 0.081 billion, and 0.110 billion yuan respectively, with year-on-year changes of +20.79%, -4.60%, +26.23%, and +119.73% [4]. Cable Exports - The export value of cables in June 2025 was 2.097 billion yuan, with a month-on-month decrease of 4.83% but a year-on-year increase of 66.18%. The cumulative export value for the first half of 2025 was 11.147 billion yuan, reflecting a year-on-year growth of 41.46% [5]. Regional Export Breakdown for Cables - In June 2025, cable exports to Asia were 1.114 billion yuan, showing a year-on-year increase of 124.00%. Exports to North America reached 226 million yuan, with a month-on-month increase of 106.04% and a year-on-year increase of 10.99% [5][6].

ETF Industry News - The three major indices collectively rose, with the Shanghai Composite Index increasing by 1.15%, the Shenzhen Component Index by 1.68%, and the ChiNext Index by 2.3. Multiple ETFs in the electric power equipment sector saw significant gains, including the Kexin New Energy ETF (588830.SH) up by 4.71%, Battery 50 ETF (159796.SZ) up by 4.12%, and Battery ETF (561910.SH) up by 4.01. In contrast, several ETFs in the non-ferrous metals sector declined, with the Gold Stocks ETF (517400.SH) down by 1.47% [1][3][6] - Wanlian Securities noted that in the context of energy transition, global renewable energy installations are rapidly increasing, coupled with the upgrade of grid equipment, leading to stable growth in global grid construction investment. China's electric power equipment products possess technological and cost advantages, making them competitive, with the export of transformers, electric meters, switches, and cables expected to benefit continuously [1] New ETF Launches - The first batch of the Shanghai Stock Exchange 580 ETF has been reported, with Huaxia Fund and E Fund simultaneously applying for the Shanghai Stock Exchange 580 ETF and its linked fund. The Shanghai 580 Index, which focuses on small-cap stocks, was just released in mid-June, and the recently optimized Shanghai 380 Index has also attracted interest from public funds [2] Market Performance Overview - On June 24, the three major indices rose collectively, with the Shanghai Index closing at 3420.57 points, the Shenzhen Component at 10217.63 points, and the ChiNext Index at 2064.13 points. The North Stock 50 and ChiNext Index ranked high in daily performance, with daily increases of 3.65% and 2.3%, respectively [3] Sector Performance - In the performance of various sectors, electric power equipment, non-bank financials, and retail trade ranked at the top, with daily increases of 2.85%, 2.68%, and 2.64%, respectively. In contrast, the oil and petrochemical, coal, and defense sectors lagged behind, with daily changes of -2.1%, -0.22%, and 0.13% [6] ETF Market Performance - The overall performance of ETFs showed that cross-border ETFs performed the best with an average increase of 1.94%, while commodity ETFs had the worst performance with an average decrease of -1.21% [8] - The top five performing ETFs today included the Kexin New Energy ETF (588960.SH) with a return of 9.44%, followed by the Robot 50 ETF (159559.SZ) at 4.79%, and the Kexin New Energy ETF (588830.SH) at 4.71% [10] Trading Volume of Different ETF Categories - The top three ETFs by trading volume were the CSI 300 ETF (510300.SH) with a trading volume of 4.815 billion, Kexin 50 ETF (588000.SH) at 3.393 billion, and A500 ETF (512050.SH) at 3.345 billion [12][13]