Deutsche Bank cut the target price of Rongsheng Heavy Industries (1101.HK) by 50% to only HK$0.7 to reflect the medium-term profit warning and rate sales; indicating that the domestic shipbuilding industry is deteriorating, new ship contracts continue to decline (Rongsheng has not been able to obtain new orders during the year), and competition is fierce. Prices are still on a downward trend, and the financing environment is weak; as for its chairman Zhang Zhirong, the alleged insider trading, although the company has indicated that it will not affect operations, but risk management still poses concerns.