Anhui Province will comprehensively promote green buildings and steadily develop prefabricated buildings

It is learned from the Department of Housing and Urban-Rural Development of Anhui Province that this year, Anhui Province will comprehensively promote green buildings, steadily develop prefabricated buildings, promote building energy efficiency improvements, advance construction technology innovation, and promote high-quality development of housing urban and rural construction. In terms of advancing the development of prefabricated buildings, the construction of provincial prefabricated building industrial bases will continue. In principle, all regions should introduce or cultivate no less than one integrated design and construction enterprise during the year, and actively strive to create a national prefabricated building demonstration city and industrial base. Encourage international cooperation in production capacity and equipment manufacturing, and support capable and qualified prefabricated construction enterprises and component manufacturers to actively and steadily "go global." Encourage prefabricated construction enterprises to undertake international engineering projects, and support the undertaking of the construction of overseas economic and trade park projects promoted by our province.

Prefabricated building refers to building beams, slabs, columns, walls and other components of the house in advance in the factory and transporting them to the construction site for assembly and splicing. This new construction method has the characteristics of energy saving, environmental protection, and short construction period, and is widely adopted by developed countries. In terms of A-share investment, Zheshang Securities pointed out that under the goal of "carbon peak and carbon neutrality", the prefabricated construction industry continues to be prosperous. It is recommended to focus on the prefabricated sector and pay attention to related building standards that are expected to benefit from BIPV in the future. According to statistics at the current time point, the investment amount of major provincial projects in 2021 will increase by 13.6% year-on-year. It is recommended to focus on infrastructure central enterprises with absolute bottom valuations and sufficient newly signed & in-hand orders.

Tianfeng Securities believes that under the current market environment, the undervalued sector has both upward fundamentals and a good margin of safety, with outstanding price/performance ratio. The excellent growth of prefabricated buildings has been further verified by data. BIPV is expected to form a strong catalyst for some related stocks in the short term, and continue to recommend infrastructure (local state-owned enterprises, infrastructure design, blue chips for central enterprises)/housing construction value varieties. Continue to recommend high-prosperity prefabricated building industry chains (steel structure, design, components, etc.) in the medium and long-term perspective, and pay attention to the green building industry chains such as BIPV and carbon neutrality. Blue chips recommend Huashe Group, China Communications Construction, China Railway Construction, China State Construction, Gold Mantis, etc. for low-value construction, and Honglu Steel Structure, Huayang International and Jinggong Steel Structure for prefabricated buildings. In addition, it is recommended to pay attention to the BIPV-related subject center shares, Ruihe shares and Weiye shares.