According to Haitong Securities research report, with the central government encouraging a new round of equipment updates and the potential demand for upgrading stock machine tools, the machine tool industry is expected to usher in a revival. In addition, attention should be paid to the opportunities for domestic machine tools to go global and the applications of high-end machine models in emerging fields (such as robotics and 3C). Recommended stocks include: 1) General machine tools: Ningbo Haitian Precision Machinery, Newell Brands and other companies; 2) Five-axis processing centers and numerical control systems: Guangdong Topstar Technology, Wuhan Huazhong Numerical Control and other companies; 3) Grinding machines: Qinchuan Machine Tool & Tool Group Share and other companies; 4) Lathes: Zhejiang Headman Machinery Co., Ltd. and other companies.