HK Stock Market Move | Sinotruk Jinan Truck (03808) increased by over 3%. Institutions believe that there is still potential for increased export capacity in the industry. The company is focusing on building overseas production bases.

Sinotruk Jinan Truck (03808) rose more than 3%, rising 3.34% to HK$30.28 as of the time of writing, with a turnover of HK$128 million. On the news front, China Securities Co., Ltd. pointed out in a research report that in the past two years, the sales of heavy trucks have rebounded, mainly due to the scrapping and replacement subsidies driving the elimination of old models such as National III and National IV and stimulating domestic demand, the structural increment of gas and new energy vehicles, and export growth exceeding expectations. Looking forward to 2026, the natural scrapping and replacement demand for National IV and National V will support a domestic sales scale of 700,000 units, coupled with non-Russian regions driving export growth, total sales will remain around 1.1 million units. Export market potential can reach nearly 700,000 units, still having further potential for growth, therefore optimistic about the medium-term uptrend in the industry cycle. Bank of America Securities stated that they held a conference call with Sinotruk Jinan Truck, and the management mentioned that Sinotruk Jinan Truck's annual sales target of 300,000 units is progressing smoothly. The company is steadily advancing towards its sales and profit margin targets for 2025 and plans to maintain a conservative capital expenditure plan between 2025 and 2027, not exceeding RMB 2 billion per year, focusing on investments in overseas production bases (such as Kazakhstan, Brazil, Indonesia). The bank still sees the company's long-term export expansion business story and stable local market position positively. Orient believes that benefiting from the full implementation of the policy for replacing old vehicles with new ones, the increase in penetration rate of new energy heavy trucks, the sustained high prosperity of exports, and the impact of a low base in the same period last year, heavy truck industry sales in the third quarter grew rapidly year-on-year, with the company as a leading enterprise in the heavy truck industry benefiting significantly.