HK Stock Market Move | Sinotruk Jinan Truck (03808) rises more than 8%, New energy heavy truck policy is released, the company is expected to benefit from the export trend to Africa and Southeast Asia.

Sinotruk Jinan Truck (03808) surged by over 8%, as of the time of writing, it was up by 7.99%, trading at 45.14 Hong Kong dollars with a trading volume of 2.61 billion Hong Kong dollars. On the news front, recently, the Ministry of Transport, National Development and Reform Commission, Ministry of Industry and Information Technology, and 11 other departments jointly issued the "Implementation Plan for Promoting the Large-scale Application of New Energy Heavy Trucks", clearly stating that by 2030, the penetration rate of new energy heavy trucks will reach 40%, with a total inventory exceeding 1.6 million vehicles, accounting for about 20% of the total inventory. This move aims to accelerate the green and low-carbon transformation in the transportation sector. New energy heavy trucks refer to heavy-duty cargo vehicles with a total mass of 12 tons or more, using a new type of power system. Huayuan Securities pointed out that Sinotruk Jinan Truck is a leading heavy truck enterprise in China, and is expected to benefit fully from the export trends of heavy trucks to Africa and Southeast Asia. The key focus is on the export of Chinese heavy trucks to Africa and Southeast Asia, as these regions have significant room for improvement in per capita GDP, and infrastructure, logistics, and mining are expected to drive the demand for heavy trucks. Domestically, with the implementation of the vehicle scrappage program and the replacement of National Standard Five emission standards, domestic sales of heavy trucks are expected to improve. After the increase in sales of new energy heavy trucks by Sinotruk Jinan Truck, profitability is also expected to improve.