HK Stock Market Move | DONGYUE GROUP (00189) rose more than 5%, and the refrigerant quota plan for 2025 was released. The upward trend in refrigerant demand may continue.

DONGYUE GROUP (00189) rose by more than 5%, with a 5.45% increase to 5.8 Hong Kong dollars by the time of this report, with a trading volume of 22.1729 million Hong Kong dollars. On the news front, on September 14, the Ministry of Ecology and Environment issued a letter soliciting opinions on the quota setting and allocation plan for the consumption of ozone-depleting substances and hydrofluorocarbons in 2025. The plan initially sets the total quotas and distribution plans for second-generation refrigerants (HCFCs) and third-generation refrigerants (HFCs) in 2025, and explains the plan formulation. Among them, HCFCs will implement annual phasing-out tasks, reducing production and usage by 67.5% and 73.2% respectively compared to the baseline; the total production and usage target of HFCs will be maintained at the baseline, with the production quota total for 2024 being 18.53 billion tons of CO2, the domestic production quota total being 8.95 billion tons of CO2, and the import quota total being 0.1 billion tons of CO2. Guosen Securities pointed out that with the preliminary implementation of the 2025 quota plan, the market's uncertainties are expected to be partially eliminated, and they remain optimistic about the upward trend in the refrigerant market, believing that the industry cycle is far from over. Guosen believes that with the release of the draft opinion solicitation for the 2025 refrigerant quota plan, the supply side of second and third-generation refrigerants will have long-term constraints, and they are optimistic about the continued prosperity of refrigerant products.