CITIC Securities: Yaxia Hydropower Project Investment Exceeds Trillion Yuan, Will Drive Demand for Related Industries.

CITIC Securities pointed out that the total investment in the downstream hydropower project of the Yarlung Zangbo River is about 1.2 trillion yuan, and is expected to bring high elasticity growth in demand for construction materials and other sectors. Due to the regional characteristics of the Qinghai-Tibet Plateau, the cement market in Tibet is expected to increase by 25-30% in 2026 with the promotion of the hydropower project. At the same time, the establishment of the new central enterprise, Yajiang Group, will ensure the smooth construction and operation of the hydropower project. The electricity from the project will mainly be transmitted outside for consumption, while also considering local demand in Tibet, and is expected to achieve comprehensive balance in the long run.