Investment Rating - The report maintains a "Buy" rating for Hengli Petrochemical (600346) [6] Core Views - The company's performance exceeded expectations, with a notable recovery in Q3 2025 driven by "anti-involution" policies that are expected to enhance the refining landscape [6] - The report anticipates a significant recovery in refining margins due to the exit of less competitive domestic refineries and a decline in overseas refining capacity [6] - The company has completed major capital expenditures, leading to improved cash flow and increased dividends for shareholders, with a current dividend yield of 3.1% [6] Financial Data and Earnings Forecast - Total revenue for 2025 is projected at 243.57 billion, with a year-on-year growth rate of 3.0% [5] - Net profit attributable to shareholders is expected to reach 8.04 billion in 2025, reflecting a 14.2% increase year-on-year [5] - Earnings per share (EPS) is forecasted to be 1.14 yuan in 2025, with a projected price-to-earnings (PE) ratio of 15 times [5] - The gross margin is expected to be 11.3% in 2025, with a return on equity (ROE) of 11.5% [5] - The company achieved a gross margin of 16.36% in Q3 2025, up 8.58 percentage points year-on-year [6] Market Data - As of October 27, 2025, the closing price of the stock is 17.07 yuan, with a market capitalization of 120.157 billion [6] - The stock has a price-to-book ratio of 1.9 and a dividend yield of 3.1% based on the most recent dividend announcements [6]

Group 1 - The core viewpoint of the article highlights that India's Reliance Industries reported a 10.8% year-on-year increase in EBITDA for its refining business, reaching 150 billion Indian Rupees, driven by a significant recovery in transportation fuel margins and improved polymer profits [1] - The refining business's sales revenue grew by 3.2% year-on-year to 1.6 trillion Indian Rupees, with total production increasing by 3% to 20.8 million tons [1] - The chairman and managing director of Reliance Industries, Mukesh Ambani, noted that despite ongoing volatility in the energy market, the refining business achieved steady year-on-year growth [1] Group 2 - Domestic polymer demand in India increased by 3% year-on-year, with polypropylene (PP) demand rising by 9% and polyethylene (PE) demand increasing by 4%, while polyvinyl chloride (PVC) demand fell by 9% due to extended monsoon rains [1] - The expansion of polymer profit margins was primarily attributed to a decrease in raw material naphtha prices, with profits for PP, PE, and PVC increasing by 8%, 6%, and 5% year-on-year, respectively [1] - In the polyester segment, domestic demand grew by 3% year-on-year, driven by seasonal fabric demand, with polyester filament and staple fiber demand increasing by 7% and 6%, respectively; however, demand for polyethylene terephthalate (PET) declined by 13% due to heavy rainfall impacting the beverage industry [1]

Group 1 - The 20th Central Committee's Fourth Plenary Session emphasizes the importance of effective investment and breaking down barriers to the construction of a unified national market, which may benefit leading companies in the chemical industry [1] - The report highlights that the domestic production rate of electronic chemicals and high-end polyolefins is low, indicating potential growth areas for future development [2] - The petrochemical industry faces challenges due to homogeneous production capacity, necessitating stricter management of new refining and key petrochemical projects to avoid disorderly expansion and duplication [3] Group 2 - The refining industry is identified as a key area for governance, with a significant portion of refining capacity in Shandong province, suggesting potential for capacity reduction and benefits for private refining enterprises [4] - The polyester filament industry is proactively implementing production cuts to balance market supply and demand, which may favor leading companies in the sector [4]

1. Report Industry Investment Rating There is no information provided regarding the industry investment rating in the given content. 2. Core Viewpoints of the Report The report presents a comprehensive analysis of the large refining and chemical industry, covering key aspects such as project spreads, product prices, profit margins, inventory levels, and operating rates across different segments including polyester, refining, and chemicals. It also tracks the performance and financial forecasts of major private refining and chemical companies [2][8][9]. 3. Summary According to Relevant Catalogs 3.1. Big Refining Weekly Data Briefing - **Project Spreads**: Domestic key large refining projects had a weekly spread of 2,564 yuan/ton, a decrease of 24 yuan/ton (1% decrease) compared to the previous week. Foreign key large refining projects had a weekly spread of 1,212 yuan/ton, a decrease of 2 yuan/ton (0% decrease) [2]. - **Polyester Sector**: POY/FDY/DTY industry average prices were 6,407/6,618/7,732 yuan/ton respectively, with week - on - week decreases of 114/79/54 yuan/ton. Their weekly average profits were 72/ - 54/88 yuan/ton, down 54/30/14 yuan/ton week - on - week. Inventory levels were 11.8/21.9/29.5 days, down 5.0/4.2/2.0 days. The filament开工率 was 91.0%, a 0.0 percentage point decrease. Downstream, the loom operating rate was 66.5%, up 2.4 percentage points, and the raw material inventory of weaving enterprises was 11.1 days, up 0.9 days, while the finished product inventory was 24.0 days, down 1.7 days [2]. - **Refining Sector**: Domestic refined oil prices of gasoline, diesel, and aviation kerosene decreased this week. In the US, the price of aviation kerosene decreased [2]. - **Chemical Sector**: The average price of PX this week was 794.4 dollars/ton, an increase of 6.9 dollars/ton compared to the previous week, and the spread over crude oil was 336.7 dollars/ton, up 4.5 dollars/ton. The PX operating rate was 86.3%, a 1.0 percentage point decrease [2]. - **Related Listed Companies**: Private large refining and polyester filament companies include Hengli Petrochemical, Rongsheng Petrochemical, Hengyi Petrochemical, Tongkun Co., Ltd., and Xin凤鸣 [2]. 3.2. Big Refining Weekly Report 3.2.1. Big Refining Index and Project Spread Trends The report provides historical data and trends on the performance of the large refining index, including the comparison of the performance of the petrochemical index and six private large refining companies over different time periods (recent week, recent month, recent three months, recent year, and since the beginning of 2025). It also shows the trends of domestic and foreign large refining project spreads in relation to Brent oil prices [8]. 3.2.2. Polyester Sector - **Price and Profit Analysis**: Analyzes the prices, spreads, and profit margins of various polyester products such as PX, MEG, PTA, POY, FDY, DTY, polyester staple fiber, and polyester bottle chips. It also examines the relationships between these products and raw materials like crude oil and PTA [9]. - **Operating Rate and Inventory Analysis**: Tracks the operating rates of PX, PTA, MEG, and polyester filaments, as well as the inventory levels of PTA, polyester filaments, and polyester staple fiber. It also analyzes the operating rates and inventory levels of downstream weaving enterprises [9]. - **Sales and Production Ratio**: Analyzes the sales - to - production ratios of polyester filaments and polyester staple fiber in the Jiangsu and Zhejiang regions [47][69]. 3.2.3. Refining Sector - **Domestic Refined Oil**: Compares the prices and spreads of domestic gasoline, diesel, and aviation kerosene with crude oil prices in both yuan/ton and dollars/barrel units [82][84][92]. - **US Refined Oil**: Analyzes the prices and spreads of US gasoline, diesel, and aviation kerosene in relation to crude oil prices in both yuan/ton and dollars/barrel units [94][103]. - **European Refined Oil**: Examines the prices and spreads of European gasoline, diesel, and aviation kerosene in relation to crude oil prices in both yuan/ton and dollars/barrel units [108][115]. - **Singapore Refined Oil**: Analyzes the prices and spreads of Singapore gasoline, diesel, and aviation kerosene in relation to crude oil prices in both yuan/ton and dollars/barrel units [120][130]. 3.2.4. Chemical Sector Analyzes the prices and spreads of various chemical products such as polyethylene LLDPE, EVA foaming material, EVA photovoltaic material, homopolymer polypropylene, styrene, acrylonitrile, PC, MMA, etc., in relation to crude oil prices [136][146].

Investment Rating - The industry investment rating is "Positive" as indicated by the report's outlook on the refining sector [149]. Core Insights - The report highlights a rebound in oil prices, which has led to an increase in inventory replenishment among textile enterprises, resulting in a significant reduction in long filament inventory [1]. - Brent crude oil prices increased to $65.94 per barrel, up by $4.65 from the previous week, while WTI prices rose to $61.50 per barrel, an increase of $3.96 [1][13]. - The report notes that the domestic price difference for key refining projects is 2374.85 CNY/ton, a decrease of 30.36 CNY/ton (-1.26%) week-on-week, while the international price difference is 1213.16 CNY/ton, down by 2.88 CNY/ton (-0.24%) [2]. Refining Sector Summary - The report discusses the impact of geopolitical events on oil prices, including potential trade agreements between the US and China, and sanctions against Russia, which have contributed to a favorable environment for oil price recovery [1][13]. - The report indicates that the refining sector is experiencing a mixed performance, with some companies seeing stock price increases while others face declines [1][136]. Chemical Sector Summary - The chemical sector is facing weak overall demand, with oil price rebounds not translating into significant price support for chemical products [1]. - Specific products such as EVA and pure benzene have seen price declines due to weak downstream demand, leading to narrowed price differentials [1][51]. Polyester & Nylon Sector Summary - The report notes that polyester filament prices have slightly decreased, but the rebound in oil prices has stimulated replenishment sentiment among downstream textile enterprises, leading to a notable reduction in filament inventory [1][89]. - The average price for polyester filament is reported at 6439.29 CNY/ton for POY, with a slight decrease in profitability [1][112].

Group 1: Economic Development Goals - The 20th Central Committee's Fourth Plenary Session approved the "Suggestions on Formulating the 15th Five-Year Plan for National Economic and Social Development," outlining China's development blueprint for the next five years [1] - The session emphasizes high-quality development, focusing on innovation, culture, hub construction, and international cooperation as key areas for Nanjing's economic planning [2] - The city aims to achieve significant milestones in the software and information services industry, targeting a scale of over 1 trillion yuan by 2025 [3] Group 2: Industrial and Technological Advancements - The city’s industrial system will focus on enhancing core competitiveness and implementing functional reforms and strategic restructuring to support high-quality development [4] - Companies like Nanjing Steel and Jinling Petrochemical are committed to innovation-driven strategies, increasing R&D investments, and developing advanced manufacturing and green technologies [7][8] - The emphasis is on building a modern industrial system that integrates advanced manufacturing with sustainable practices [7] Group 3: Emergency Management and Safety - The city will enhance its emergency management capabilities, focusing on modernizing systems and improving urban safety resilience [5] - Digital empowerment will be utilized for smart regulation, emphasizing risk assessment and safety management in various sectors [5] Group 4: Open Economy and International Cooperation - The session calls for expanding high-level opening-up and promoting win-win cooperation, enhancing the international circulation of goods and services [9] - The local customs authority aims to improve regulatory services and support the development of free trade zones and comprehensive bonded zones [9][10] - Nanjing's airport customs will enhance its operational efficiency and facilitate international trade through improved regulatory measures [11]

1. Report Industry Investment Rating No specific industry investment rating is provided in the given text. 2. Core Viewpoints The report presents a weekly overview of the large refining and chemical industry, including data on domestic and foreign refining projects, the polyester, refining, and chemical sectors, as well as performance data of related listed companies. It shows that costs have weak support and filament market prices are declining. [2] 3. Summary by Relevant Catalogs 3.1 Big Refining Weekly Data Briefing - **Price and Spread Data**: The spread of domestic key large refining projects this week was 2,636 yuan/ton, a week - on - week increase of 122 yuan/ton (5%); the spread of foreign key large refining projects was 1,219 yuan/ton, a week - on - week increase of 67 yuan/ton (6%). International crude oil prices fell, with Brent at 62.4 dollars/barrel, down 2.8 dollars/barrel (-4.3%) week - on - week, and WTI at 58.6 dollars/barrel, down 2.8 dollars/barrel (-4.5%) week - on - week. [2][8] - **Polyester Sector**: POY/FDY/DTY industry average prices were 6,521/6,696/7,786 yuan/ton respectively, down 121/100/89 yuan/ton week - on - week. Their weekly average profits were 126/-24/102 yuan/ton respectively, up 4/18/25 yuan/ton week - on - week. POY/FDY/DTY inventories were 16.8/26.1/31.5 days respectively, up 3.2/2.0/2.6 days week - on - week. The filament开工 rate was 91.1%, unchanged week - on - week. [2] - **Refining Sector**: Domestic and US gasoline, diesel, and aviation kerosene prices all decreased this week. [2] - **Chemical Sector**: The average PX price this week was 787.6 dollars/ton, down 16.0 dollars/ton week - on - week, and the spread to crude oil was 332.2 dollars/ton, up 4.3 dollars/ton week - on - week. The PX开工 rate was 87.5%, down 0.4 pct week - on - week. [2] - **Listed Companies**: Related listed companies include Hengli Petrochemical, Rongsheng Petrochemical, Hengyi Petrochemical, Tongkun Co., Ltd., and Xin凤鸣. [2] - **Stock Performance**: The petroleum and petrochemical index fell 2.6% in the past week. Among the six private refining companies, Tongkun Co., Ltd. had the largest decline of 12.4%, while Xin Fengming had a relatively large increase in the past three months and one year. [8] 3.2 Big Refining Weekly Report 3.2.1 Big Refining Index and Project Spread Trends - There are trend charts showing the changes in the Shanghai - Shenzhen 300, petroleum and petrochemical index, Brent crude oil price, and the average index of six large refining companies from 2020 - 2025. [13][15] - There are also trend charts of the market performance of six private large refining companies from 2020 - 2025. [16][17] - Trend charts of the spread of domestic and foreign large refining projects and Brent crude oil prices from 2020 - 2025 are presented. [19][22] 3.2.2 Polyester Sector - Multiple trend charts show the prices and spreads of crude oil, PX, PTA, MEG, and various polyester products from 2020 - 2025, as well as the relationship between their prices and spreads, single - ton net profits, inventories, and开工 rates. [24][25][26] - There are also charts showing the production and sales rates of polyester filaments and short - fibers in the Jiangsu and Zhejiang regions, as well as their annual distribution. [49][50][72] 3.2.3 Refining Sector - Trend charts of the prices and spreads of domestic, US, European, and Singapore gasoline, diesel, and aviation kerosene to crude oil from 2020 - 2025 are provided. [83][84][85] 3.2.4 Chemical Sector - Trend charts of the prices and spreads of various chemical products such as polyethylene, polypropylene, EVA, styrene, acrylonitrile, PC, and MMA to crude oil from 2020 - 2025 are presented. [136][137][147]

Investment Rating - The industry investment rating is "Positive" as indicated by the report's outlook on the refining sector [153]. Core Insights - The report highlights an increase in demand for winter thermal fabrics, leading to a slight improvement in long filament profitability [2]. - The Brent crude oil average price for the week ending October 17, 2025, was $62.37 per barrel, reflecting a decrease of 4.26% from the previous week [2]. - The domestic key refining project price difference was 2425.56 CNY/ton, with a week-on-week increase of 21.37 CNY/ton (+0.89%) [3]. - The report notes that the international oil price experienced fluctuations due to trade tensions and economic concerns, impacting the overall market sentiment [14]. Summary by Sections Refining Sector - The report discusses the impact of U.S.-China trade tensions on oil prices, with Brent and WTI prices at $61.29 and $57.54 per barrel respectively, showing declines of $1.44 and $1.36 from the previous week [14]. - Domestic refined oil prices have slightly decreased, but the price differentials have improved [14]. - The report tracks the stock performance of six major refining companies, with notable declines in stock prices for several companies over the past week [140]. Chemical Sector - The chemical products in the petrochemical downstream faced price declines due to weak cost support, with polyolefin prices showing slight fluctuations [2]. - EVA demand remains weak, leading to price adjustments and a slight narrowing of price differentials [2]. - The report indicates that pure benzene prices have slightly decreased, but price differentials have improved [2]. Polyester & Nylon Sector - The report notes a decrease in polyester chain product prices due to weak cost support, with PX, MEG, and PTA prices all declining [89]. - The demand for polyester long filaments has increased due to colder temperatures in northern regions, although prices have slightly decreased [110]. - Nylon fiber prices have also shown weakness, with average prices for POY, FDY, and DTY all declining [120].

Core Viewpoint - The successful commissioning of the ethane-rich facility by Panjin Northern Asphalt Fuel Co., Ltd. marks a significant milestone in the company's production capabilities and resource optimization efforts [1][4]. Group 1: Project Overview - The ethane-rich facility consists of a 330,000-ton annual ethane gas extraction unit and a 260,000-ton annual low-boiling gas de-asphalting unit [4]. - The facility utilizes feedstocks such as coking dry gas, light hydrocarbon gas, and low-boiling gas, establishing a stable and efficient raw material supply system [4]. Group 2: Production and Market Impact - Upon full operation, the facility is expected to produce 330,000 tons of high-quality ethane gas annually, which will serve as a premium raw material for expanding into high-end markets [4]. - The successful operation of the facility demonstrates the company's comprehensive strengths in process technology, production management, and safety and environmental protection [4]. Group 3: Strategic Significance - The commissioning of the ethane-rich facility represents a key advancement in the company's integrated refining layout, supporting further resource optimization and industry chain extension [4]. - This project is a crucial step in enhancing the overall competitiveness of the company in the market [4].

Group 1 - The National Development and Reform Commission has issued the "Special Management Measures for Central Budget Investment in Energy Conservation and Carbon Reduction," which supports key industries in energy conservation, clean coal consumption alternatives, and carbon neutrality initiatives [1] - Companies in traditional high-energy-consuming industries, such as paper and textiles, are accelerating energy conservation and carbon reduction transformations through technological upgrades and energy alternatives [1][2] - Xianhe Co., Ltd. is advancing a sustainable development model by integrating forestry and paper production, establishing a complete industrial chain, and exploring new plant-based raw materials [1] Group 2 - In the chemical and materials sector, Rongsheng Petrochemical Co., Ltd. is optimizing its refining and chemical integration facilities to achieve significant energy savings and emissions reductions [2] - The "Management Measures" also support energy conservation transformations in infrastructure such as heating and data centers, providing green transition opportunities for high-energy consumption scenarios [2] - Dongfang Risen New Energy Co., Ltd. is integrating photovoltaic and energy storage technologies to enhance energy management in industrial parks, thereby reducing overall carbon emissions [2] Group 3 - The dual drivers of policy promotion and market demand are expected to make energy conservation and carbon reduction transformations a new growth engine [3] - Continuous innovation in energy-saving, energy storage, and carbon capture technologies, along with the integration of green finance and digital methods, will broaden the transformation paths for companies [3] - Companies that proactively innovate and enhance industrial collaboration will gain a competitive edge in the wave of energy conservation and carbon reduction [3]