HK Stock Market Move | Cement stocks collectively rise, and the steady growth plan for the building materials industry is introduced. Industry insiders estimate that cement industry will reduce 10% of clinker capacity within the year.

Cement stocks collectively rise, as of the time of writing, Huaxin Cement (06655) rose 5.1% to HK$15.26; WESTCHINACEMENT (02233) rose 5.1% to HK$3.3; CNBM (03323) rose 3.23% to HK$5.44; Anhui Conch Cement (00914) rose 1.56% to HK$23.48. On the news front, on September 24, the Ministry of Industry and Information Technology and six other departments issued the "Work Plan for Stabilizing Growth of the Building Materials Industry (2025-2026)." According to reports from Caixin Financial, some listed company officials told reporters that they have implemented capacity replacement matters. Industry insiders expect that the requirement in the above plan to "formulate capacity replacement plans for excess capacity projects before the end of 2025" is expected to reduce 10% of clinker production capacity, and industry consolidation is expected to accelerate; at the same time, the pace of large enterprises integrating the domestic market will also speed up, and industry concentration will be effectively improved. Guosheng Securities released a research report stating that the cement industry demand is still in the process of finding a bottom, with enterprises strengthening staggered production stoppages and cement prices fluctuating around the industry breakeven line. The China Cement Association issued the "Opinions on Further Promoting the High-Quality Development of the Cement Industry" to improve supply. Large infrastructure projects are expected to drive regional demand in Tibet, Xinjiang, etc., and attention is focused on cost-advantaged leading companies like Anhui Conch Cement and Huaxin Cement, which have overseas targets.