The central government has made major moves to support the development of the western region, and stocks in the five major benefiting sectors have been sorted out (attached shares)

According to Xinhua News Agency, the "Guiding Opinions of the Central Committee of the Communist Party of China and the State Council on Promoting the Development of the Western Region in the New Era and Forming a New Pattern" (hereinafter referred to as the "Opinions") was released on May 17, 2020.

The "Opinions" are divided into six aspects, including: implementing new development concepts and promoting high-quality development; taking the initiative to build the "Belt and Road" as a guide, increasing the opening up of the western region; Strengthen the construction of a beautiful western region and build a solid national ecological security barrier; deepen reforms in key areas and unswervingly promote the implementation of major reform measures; adhere to the people-centered approach and prioritize enhancing the people's sense of gain, happiness, and security; strengthen Policy support and organizational guarantee.

So, which industry sectors will benefit?

The "Opinions" pointed out that infrastructure planning and construction should be strengthened. Improve the accessibility, smoothness and equalization level of infrastructure and promote green and intensive development. Strengthen the construction of transportation corridors that run from east to west and from north to south, and expand the regional development axis. Strengthen the planning and construction of trunk corridors for resource and energy development areas.

It is necessary to speed up the planning and construction of major projects such as the Sichuan-Tibet Railway, the High-speed Railway along the Yangtze River, the Chongqing-Kunming High-speed Railway, and the West (Ning)-Chengdu (Du) Railway. Pay attention to the coordinated development of high-speed railways and ordinary railways, and continue to operate "slow trains" with many stops and low fares.

Open dead-end roads and bottleneck roads, and strengthen the construction of sea-going, poverty alleviation channels and tourism transportation infrastructure.

Strengthen the construction of comprehensive passenger transport hubs and freight hubs (logistics parks). Improve the layout of national logistics hubs and improve logistics operation efficiency.

Strengthen the construction of aviation ports and hubs, expand the traffic rights of hub airports, and actively develop general aviation.

Further improve the coverage of information networks in rural and remote areas.

Properly plan and construct a number of key water source projects, backbone river and lake management projects and large-scale irrigation area projects, strengthen the continued construction and modernization of large and medium-sized irrigation areas, management of small and medium-sized rivers, removal and reinforcement of dangerous reservoirs, and drought-resistant water sources Engineering construction and flash flood disaster prevention and control. Promote the integration of urban and rural water supply and the construction of key small-scale standardized water supply facilities in areas with dispersed populations, and strengthen the standardized construction of drinking water sources.

Among the specific measures in the "Opinions", the most related descriptions are related to infrastructure construction, such as the construction of Chengdu, Chongqing and Xi'an hub cities, transportation channel construction, Sichuan-Tibet Railway and other project construction, construction along the "One Belt and One Road", west to east power projects Send to construction etc. This is a step to make up for shortcomings in the development of the western region. Only by improving infrastructure can we truly support a series of great plans such as high-tech development, improvement of people's livelihood, and ecological and environmental protection.

GF Securities believes that for infrastructure, traditional infrastructure still dominates (the proportion of special bond investment from January to April was about 63%) and can play a role in stabilizing growth. Generally speaking, infrastructure stocks located in the west are most closely related to the development of the west, because infrastructure has a certain regional nature, such as cement, construction and other industries with a certain business radius.

The "Opinions" also proposed that we should take the initiative to build the "Belt and Road" as a guide and increase the opening up of the western region. The policy level has given detailed instructions on details such as hub city planning, major channel construction, and cross-border economic cooperation zone layout. Support Xinjiang, Chongqing, Sichuan, Shaanxi, Gansu, Guizhou, Qinghai, Inner Mongolia and other places to build core areas based on their regional advantages.

The "Opinions" dedicated a chapter to make important arrangements for ecological and environmental protection. The western region accounts for more than half of the country's total area. The environment and ecology in the western region are also relatively fragile. Protecting the ecological environment in the western region is a key step in realizing a beautiful China.

First, brokerage research reports show that the cement sector in the western region will benefit, such as Qilianshan, Qingsong Jianhua, Tianshan Co., Ltd., Shangfeng Cement, etc.

Second, infrastructure stocks in the western region, such as Sichuan Road and Bridge, Chengdu Road and Bridge, Xinjiang Communications Construction, Beixin Road and Bridge, etc.

Third, ecological and environmental protection, such as Xingrong environment, Mengcao ecology, etc.

Fourth, in terms of network construction, such as Dr. Peng, Xinyi Sheng, etc.

Fifth, in terms of railway infrastructure, such as China Railway Construction, China Railway, China Railway Industry, etc.

Part of the content of this article comes from Investment Express, Databao, etc.

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