Core Viewpoint - Recent rumors suggested that BGI Genomics is venturing into car manufacturing, which the company clarified is not the case. Instead, it focuses on using vehicles as mobile platforms for various healthcare and scientific applications [2]. Group 1: Company Clarification - BGI Genomics emphasized that it is not "manufacturing cars" but rather utilizing vehicles for mobile platforms, including automated ultrasound vehicles and mobile testing units [2]. - The company has made significant contributions in areas such as public health and medical resource distribution through its mobile platforms [2]. - BGI Genomics maintains a clear focus on its core business, prioritizing the development and manufacturing of life science tools while adhering to principles of technological synergy and scenario extension for new business ventures [2]. Group 2: Business Overview - Established in 2016, BGI Genomics is dedicated to advancing research and clinical applications through core technologies in gene sequencing and multi-omics [3]. - The company has a global presence, with operations in over 110 countries and regions, nine R&D centers, seven production bases, and 13 customer experience centers as of June 30, 2025 [2]. - BGI Genomics serves over 3,560 users worldwide, highlighting its extensive reach and impact in the life sciences sector [2].

Investment Rating - The industry investment rating is "Outperform the Market" [52] Core Views - The report emphasizes the ongoing disruptions caused by the US-China tariff policies and suggests focusing on opportunities in non-US markets and import substitution [4][9] - The report highlights that the adjustment of tariffs is expected to impact the trade of pharmaceutical products between China and the US, while companies primarily exporting to markets outside the US will be less affected [4][9] Summary by Sections Tariff Policy Overview - Since April 2, 2025, the US government has imposed a 34% "reciprocal tariff" on Chinese goods, with frequent adjustments to tariff rates and exemptions for certain pharmaceutical products [4][5] - As of April 11, 2025, the tariff rates for bilateral trade between China and the US have been adjusted to 125%, with China indicating it will not respond to further tariff increases from the US [5] Opportunities in the Biopharmaceutical Sector - The report identifies potential for domestic products to increase market share in the blood products sector due to tariff impacts, particularly for albumin, where US imports are significant [9] - It suggests monitoring companies such as Palin Bio, Tiantan Bio, and Huashan Bio for potential growth in market share as import costs rise [9] Medical Devices - The report notes that the tariff policies and anti-dumping investigations are likely to accelerate the domestic substitution process in medical devices, particularly in electrophysiology and imaging fields [10] - Companies like Yirui Technology and United Imaging are highlighted as making progress in domestic production capabilities [10] Investment Strategies - The report recommends focusing on "innovation," "overseas expansion," "equipment upgrades," and "consumption recovery" as key investment themes [12] - Specific companies to watch include BeiGene, Mindray, and Xiamen Innovax for their innovative products and overseas market potential [12] Key Companies to Watch - Notable companies include: - **Nocera Biopharma**: Expected to achieve significant revenue growth with its core product, demonstrating strong cash flow and reduced losses [13][14] - **Sino Biopharmaceutical**: Rapid revenue growth with a focus on innovative products and a strong pipeline [18] - **Kexing Biopharma**: Stable domestic business with promising overseas expansion [18] - **Wuxi Biologics**: Recognized for its strong technical capabilities and expanding overseas operations [22] Market Performance - The report notes a decline in the pharmaceutical sector, with a 5.61% drop in the past week, while the overall market saw a smaller decline [31][42] - The biopharmaceutical sector is highlighted as having the smallest decline among sub-sectors, indicating relative resilience [44]