CITIC Securities: The further refinement and standardization of the new tax policies on gold will promote the healthy and benign development of the industry.

Zhongxin Securities research report believes that on November 1st, the Ministry of Finance and the State Taxation Administration issued the "Announcement on the Tax Policies Related to Gold", causing shock in the industry. The key change in the new regulation is to differentiate between investment and non-investment purposes and to categorize them accordingly. With the implementation of the new policy, some issues remain unclear, and some market participants are adopting a wait-and-see attitude. The increase in tax costs for jewelry may lead to a general increase in end prices, which could potentially suppress consumer demand in the short term. In the long term, it may gradually impact companies' business decisions. Investment recommendations: 1. Further refinement and standardization of tax policies will promote healthy and sustainable development of the industry in the long term; 2. Concentration of investment gold business channels may significantly increase; 3. Non-investment gold may face pressure in the short term due to the growth in tax costs, but the development of industry standardization will accelerate the concentration of leading companies. In the long term, enterprises with product or brand advantages are expected to accelerate market share expansion; 4. The implementation of the new policy may reshape the industry landscape through influencing the value distribution of the industry chain and accelerating the compliance process. It is recommended to focus on enterprises that actively adjust their business strategies to gain market share.