Central SOEs take the lead in achieving carbon neutrality

■ Yesterday, the SASAC issued a notice titled “Guiding Opinions on Promoting the High Quality Development of Centrally Owned Enterprises and Doing a Good Job in Reducing Carbon Emissions and Promoting Carbon Neutrality”.
■ Given the importance of central SOEs in China’s economy, they should play a leading role in achieving the targets of peak carbon emissions and carbon neutrality.
■ We believe the SOEs will more active in investing in renewable energy, production process upgrades, and financing carbon emissions reduction during the 14th FYP, given the targets set for 2025, 2030 and 2060.
■ Beneficiaries include Xinyi Solar [0968.HK], Longyuan [0916.HK], Conch Venture [0586.HK], Everbright International [0257.HK], China Leon [1586.HK], CNBM [3323.HK], Conch Cement [0914.HK], China Glass [3300.HK], HKEX [0388.HK], CITIC Securities [6030.HK], and Triumph Science & Technology [600552.CH].