Investment Rating - The industry rating is "Outperform the Market" [3] Core Insights - The construction of hydrogen pipelines has achieved multiple breakthroughs, and hydrogen fuel cell trucks have seen a resurgence in bulk orders. This week, five new electrolyzer projects were awarded, suggesting a focus on companies with strong bidding capabilities for electrolyzers. The midstream sector is accelerating the construction of hydrogen pipelines, with several projects making progress, indicating a recommendation to pay attention to companies capable of hydrogen transportation. Additionally, bulk orders for hydrogen fuel cell trucks were announced this week, highlighting the potential of related enterprises [2][36]. Industry Performance - As of August 15, 2025, the hydrogen energy index closed at 2386.88 points, with a weekly increase of 2.75% and a year-to-date increase of 34.33%. The hydrogen energy sector ranked 39th among Shenwan's secondary industry rankings, showing a slight decline [8][14]. Stock Performance - The top five companies in the hydrogen energy sector by weekly increase were Dayuan Pump Industry (61.11%), Tenglong Co., Ltd. (35.05%), Kaimete Gas (34.73%), Fuan Energy (28.72%), and Chuanhuan Technology (27.58%). Conversely, the top five companies with the largest weekly declines were Donghua Energy (-11.49%), Xiling Power (-6.65%), Xinxinda (-5.75%), Shandong Molong (-5.59%), and Huadian Liaoning Energy (-5.48%) [14][15]. Hydrogen Industry Data Review - This week, there were a total of six awarded hydrogen projects with a scale of 15MW, and a total hydrogen production capacity of 3000 Nm³/h. Among these, two electrolyzer projects were awarded to Aidemann and Han Hydrogen Technology [16][17]. Industry Dynamics - Domestic developments include Geely's signing of an order for 270 alcohol-hydrogen commercial vehicles, and the planned construction of a 195 km hydrogen pipeline by Huadian, set to begin on September 5, 2025. Additionally, breakthroughs in hydrogen pipeline steel products have been achieved by Shougang Jingtang [31][32]. Policy and Announcements - The Ministry of Finance announced that hydrogen energy can be tax-deductible under certain conditions, which is expected to stimulate the industry. Furthermore, the 398th batch of the "Announcement of Production Enterprises and Products of Road Motor Vehicles" has been released, indicating a resurgence of hydrogen fuel cell passenger vehicles [33][34].

Core Insights - Baogang Co., Ltd. has successfully completed the production and delivery of 1,000 tons of new high-strength, easy-welding container steel for compressed air energy storage power stations, marking its first batch production in this area [1][3] Company Developments - The new steel is designed to withstand high pressure and frequent charging and discharging cycles, requiring properties such as high strength, fatigue resistance, corrosion resistance, and good weldability [3] - The technical sales team of Baogang Co., Ltd. identified the steel requirements for a key customer's energy storage project and quickly developed a new quality plan and production scheme to meet the challenges of tight delivery timelines and large contract volumes [3][4] - The production process involved small batch trials, process optimization, and mass production, with the entire delivery completed in just 23 days [3][4] Industry Context - Baogang Co., Ltd. is strategically positioning itself in the renewable energy sector, focusing on wind, solar, storage, and hydrogen as core products, with wind power steel products leading in the domestic market [4] - The successful delivery of the new high-strength container steel opens a new market segment for energy storage materials, which is crucial for the development of renewable energy [4][5] - As of May 2025, the total installed capacity of renewable energy in Inner Mongolia is expected to reach 14,309 MW, accounting for 52% of the region's total power capacity, highlighting the growing importance of energy storage systems to stabilize power supply [4][5]