Investment Rating - The report rates the electronic industry as "Outperform" compared to the market [1]. Core Insights - The integrated circuit packaging and testing sector leads the electronic industry, with a weekly decline of 2.63% in the SW electronic industry index, ranking 30 out of 31, while the CSI 300 index fell by 0.51% [2]. - New Kai Lai, a semiconductor equipment company, is expected to showcase significant advancements at the "Bay Chip Exhibition" from October 15 to 17, 2025 [5]. - New Kai Lai has made substantial progress in semiconductor manufacturing technology, including a joint patent application with Huawei for a self-aligned quadruple patterning method, which reduces reliance on EUV equipment and lowers manufacturing costs [9][11]. Summary by Sections New Kai Lai Company Overview - New Kai Lai was established through the strategic restructuring of Huawei's "Star Team" by the Shenzhen State-owned Assets Supervision and Administration Commission in August 2021 [6]. - The company has received increased investment, reaching 500 million yuan, and has established a subsidiary to enhance its R&D and production capabilities [6]. New Kai Lai's Product Showcase - At the SEMICON China 2025 exhibition, New Kai Lai presented 31 advanced semiconductor equipment models, demonstrating significant technological breakthroughs in third-generation semiconductor equipment [11]. - The showcased products cover critical semiconductor manufacturing processes, including diffusion, etching, chemical vapor deposition (CVD), physical vapor deposition (PVD), and atomic layer deposition (ALD) [11]. New Kai Lai's Suppliers - Key suppliers such as Li He Xing, Xin Lai Ying Cai, and Zhi Chun Technology are expected to benefit from the increasing demand for New Kai Lai's equipment [18][19]. - Li He Xing provides high-precision components for etching and deposition equipment, while Xin Lai Ying Cai supplies ultra-clean pipeline systems and vacuum valves [19][20]. Market Performance - The SW electronic industry index has shown a decline of 2.63%, with the integrated circuit packaging and testing sector performing positively with a 1.57% increase [30][34]. - The top-performing stocks in the electronic sector include Canxin Co. (+17.98%) and Yake Technology (+15.17%) [37].