Core Viewpoint - The commencement of the Yarlung Tsangpo River downstream hydropower construction project, with a total investment of approximately 1.2 trillion yuan, is expected to significantly impact the engineering machinery industry, creating substantial demand for various types of equipment [1]. Group 1: Equipment Demand - The Yarlung hydropower project, with a total investment of about 1.2 trillion yuan and a construction volume close to 500 million cubic meters, will create a market space of over 200 billion yuan for equipment, as equipment costs may account for nearly 20% of the total investment [2]. - Different stages of the project will require various types of machinery: large excavators, loaders, and bulldozers will be essential during the initial earthwork phase, while concrete machinery like mixers and pumps will be crucial during the main construction phase. Additionally, tunnel boring machines will be needed for water diversion [3]. Group 2: Industry Impact - The engineering machinery industry is currently on an upward cycle, with excavator sales showing positive year-on-year growth since March of last year. The opening of the Yarlung project is seen as a "bonus" that will further enhance domestic demand for engineering machinery [4]. - The core driver of the industry's upward cycle is the replacement of old equipment, which has been ongoing since the sales of excavators turned positive. The Yarlung project will reinforce this upward trend, but the primary factor remains the demand for equipment replacement [4]. Group 3: Export and Domestic Demand - The engineering machinery industry's revenue is significantly supported by exports, which contributed approximately 52% of total revenue last year. The export momentum is improving, with a year-on-year increase of about 11% in June for excavator exports [5][6]. - Emerging markets, particularly in Latin America, Africa, and Southeast Asia, are showing strong demand and growth. The European market is also recovering, with a notable year-on-year increase of about 29% in excavator exports to Western Europe [5][6]. Group 4: Investment Opportunities - The combination of a domestic upward cycle, favorable export conditions, and the additional demand from the Yarlung project positions the engineering machinery sector as a high-value investment opportunity. Following a valuation correction in May, the sector is currently at the lower end of its historical valuation range, making it an attractive time for investment [6].

Core Viewpoint - The company is actively engaging with investors and stakeholders to discuss its performance and strategic direction, particularly in the electric vehicle (EV) segment and North American operations, amidst geopolitical challenges. Group 1: Company Performance - In Q1 2025, the company's EV·DTB mounted business achieved sales of 6,000 units, generating revenue of 660 million yuan, with a gross profit contribution of 20 million yuan, reflecting a year-on-year sales growth of 11.6% [3][4] - The North American platform, VanguardGT, sold 4,156 semi-trailers in Q1 2025, resulting in revenue of 180 million USD and a profit of 9.68 million USD despite a challenging market environment [4][5] Group 2: Strategic Initiatives - The company is launching a research and development project for a pure electric head-mounted train technology platform, focusing on two models: the EV-RT2.0-7A and EV-RT2.0-MIX, with ongoing market research and production base establishment [5][6] - To ensure stable operations in North America amid geopolitical challenges, the company is enhancing its global supply chain strategy, emphasizing local procurement and backup supply from Thailand and Canada [4][6] Group 3: Future Outlook - The company aims to evolve into a full-value chain operator for star chain semi-trailers, leveraging initiatives like the "Star Chain Plan" and "Heroic Rise Plan" to explore value across all segments [6] - The focus for growth opportunities is on the unified national market and global southern markets, with plans to deepen the "good horse with good saddle" business model and become a preferred partner for new energy heavy-duty truck chassis [6]

Core Viewpoint - The engineering machinery industry shows signs of recovery, with improvements in working hours and operating rates, although some metrics indicate a decline compared to previous periods [5][7]. Group 1: Monthly Working Hours - In April 2025, the average working hours for major engineering machinery products was 90.1 hours, representing a year-on-year increase of 3.20% but a slight month-on-month decrease of 0.05% [1]. - Specific working hours for various machinery in April 2025 included: excavators at 85 hours, loaders at 98.3 hours, and non-road mining dump trucks at 170 hours [1]. Group 2: Monthly Operating Rates - The operating rate for engineering machinery in April 2025 was 62%, which is a year-on-year decrease of 4.29 percentage points but an increase of 1.17 percentage points from the previous month [2]. - Operating rates for specific machinery in April 2025 included: excavators at 66.3%, loaders at 62.4%, and concrete pump trucks at 43% [2]. Group 3: Historical Data Review - The average working hours for major engineering machinery products in December 2024 was 93.9 hours, showing a month-on-month decline of 2.91% [5]. - In March 2025, the average working hours increased to 90.1 hours, with a year-on-year growth of 6.53% [6]. Group 4: Market Dynamics - The engineering machinery industry is experiencing a potential recovery, with improved expectations following a significant increase in exports, which rose over 70% despite a 13-month decline in domestic sales [7][9]. - February 2025 saw an improvement in operating rates, contributing to a more optimistic outlook for the engineering machinery sector [9].

Group 1 - Daimler Trucks' Mercedes-Benz Trucks and China's leading construction machinery manufacturer Zoomlion signed a global strategic cooperation agreement at the bauma 2025 event in Munich, Germany [2] - The collaboration aims to enhance the quality and brand image of Zoomlion's products while expanding its overseas sales channels through Mercedes-Benz's global service network [2] - Since the delivery of the first concrete pump chassis in 2003, the partnership has resulted in over 15,000 vehicles delivered, establishing a benchmark for Sino-German manufacturing collaboration [2] Group 2 - The deepening cooperation over the past 22 years has built a strong foundation, with Mercedes-Benz's reliable chassis technology and global service capabilities supporting Zoomlion's products and services [3] - Industry analysts believe that the collaboration will improve the reliability and stability of Zoomlion's construction machinery while ensuring after-sales support through Mercedes-Benz's extensive service network [3] - Mercedes-Benz's technical expertise will facilitate high-end customized products for Zoomlion, aiding in the automation and intelligent integration of its construction machinery [3]