Hualong Securities: Industry fundamentals are good, focus on leading forklift companies.

Hualong Securities released a research report stating that the forklift industry's sales data is impressive, with both domestic and export sales achieving double-digit year-on-year growth from January to September. Benefiting from the low base effect in the second half of 2024, it is expected that the growth momentum will continue in the fourth quarter, which will have a positive impact on valuation. The logistics industry is an ideal landing scenario for intelligent Siasun Robot & Automation, with ample application scenarios for forklifts. With the development of artificial intelligence and automation technology, the forklift industry is undergoing an upgrade towards intelligence and unmanned operation. Unmanned forklifts have a higher unit price but are more cost-effective. With the increasing penetration rate, industry profits are expected to increase. The industry fundamentals are good, and electrification and globalization provide a solid foundation for intelligent upgrades. According to the report, on October 18, 2025, the China Engineering Machinery Industry Association released the September flash report on the sales of major products in the engineering machinery industry. According to the statistics from the China Engineering Machinery Industry Association on major forklift manufacturers, in September 2025, a total of 130,380 forklifts were sold, a 23% year-on-year increase. Of these, domestic sales were 81,119 units, a 29.3% year-on-year increase, and exports were 49,261 units, a 13.9% year-on-year increase. From January to September 2025, a total of 1,106,406 forklifts were sold, a 14% year-on-year increase. Of these, domestic sales were 697,375 units, a 13.1% year-on-year increase, and exports were 409,031 units, a 15.5% year-on-year increase. In addition, excluding the sales of electric pedestrian warehouse (Class III) vehicles: In September 2025, a total of 51,150 forklifts excluding electric pedestrian warehouse vehicles were sold, an 18.2% year-on-year increase. Of these, domestic sales were 31,910 units, a 15.7% year-on-year increase, and exports were 19,240 units, a 22.7% year-on-year increase. From January to September 2025, a total of 451,048 forklifts excluding electric pedestrian warehouse vehicles were sold, a 5.99% year-on-year increase. Of these, domestic sales were 298,148 units, a 3.32% year-on-year increase, and exports were 152,900 units, an 11.6% year-on-year increase.