htsc's research report states that China's manufacturing industry is undergoing a critical transformation from quantity to quality, with mergers and acquisitions, globalization, and capacity clearance being three main lines that will have a long-term impact on most machinery companies. The outlook for construction machinery in 2025 is bullish, as we expect profit elasticity brought by the rigidity of the supply side and the flexibility of the demand side, and we are very confident in the profit recovery of various sectors in the context of the overall economic stability in the country. It is recommended to pay attention to the domestic and overseas dual-driven construction machinery sector; the supply side is constrained by capacity expansion, making short-term production increases difficult, but demand is significantly improving for sewing machinery, ships and marine engineering, and rail transit equipment; humanoid robots and new energy equipment, which are driven by new technologies, will have greater demand elasticity in the future; the industrial control sector, which has strong resilience in the pro-cyclical end, and the pro-cyclical sub-industries that may reverse logic due to new energy drag in 2024.