Barclays pointed out that since the Development and Reform Commission investigated the monopoly of cement prices in the Northeast region and the average demand for cement during the traditional peak season this year, prices are expected to increase or be lower than in previous years. According to the bank, China Building Materials (03323-HK) and Shanshui Cement (00691-HK) have 8% to 20% production capacity in the Northeast region, so the increase in cement prices has had a significant impact on the two companies. Barclays proposed reducing its holdings in China Building Materials and lowering the target price by 8% to 6.1 yuan, and the target price of landscape cement by 9% to 2.8 yuan, but maintaining the “in sync with the market” rating. Barclays also proposed increasing its holdings of Anhui Conch Cement (00914-HK), which mainly sells in East China and South China, but reduces the target price to 32.85 yuan. The bank also slightly raised the target price of China Resources Cement (01313-HK) to 5.91 yuan, but maintained the “in sync with the market” rating due to the group's lack of specific integration plans.