Guangda Securities: Demand for downstream products such as caustic soda and PVC is waiting to recover. "Anti-insular" policies are expected to accelerate supply-side clearance.

Guangda Securities released a research report stating that on July 19th, the Yadong River downstream hydropower project officially started construction. The project is located in Nyingchi City, Tibet Autonomous Region, and mainly adopts the development method of cut-and-fill and tunnel water diversion, constructing 5 cascade power stations with a total investment of about 1.2 trillion yuan. The electricity generated by the project will mainly be transmitted to other areas, while also meeting the local demand in Tibet. The Yadong River downstream hydropower project is not only a milestone in the energy and infrastructure field, but also a systematic practice of China's coordinated development, security, ecology, and innovation. Its market impact will long-term radiate across multiple industries such as infrastructure, energy, and materials, and its strategic value is reflected in multiple dimensions such as national energy security, border stability, and global climate governance. It is recommended to pay attention to infrastructure-related chemical products such as soda ash, PVC, and water-reducing agents, which are expected to benefit.