Zhitong Hong Kong Stock Early Knowledge | Two departments support innovative drugs to enter the basic medical insurance drug catalog BYD COMPANY June sales increased by 12% year-on-year

【Today's Headlines】

The National Healthcare Security Administration solicits opinions on the adjustment plan for the 2025 medical insurance drug catalog

According to the National Healthcare Security Administration, based on the "Interim Measures for the Management of Basic Medical Insurance Drugs" and the requirements of documents such as the "Several Measures to Support the High-Quality Development of Innovative Drugs" from the National Healthcare Security Administration and the National Health Commission, we have drafted the "Adjustment Work Plan for the 2025 National Basic Medical Insurance, Maternity Insurance, and Work Injury Insurance Drug Catalog and Commercial Health Insurance Innovative Drug Catalog" and the "Adjustment Application Guidelines for the 2025 National Basic Medical Insurance, Maternity Insurance, and Work Injury Insurance Drug Catalog and Commercial Health Insurance Innovative Drug Catalog," and revised the "Negotiated Drug Renewal Rules." We are now publicly soliciting opinions. The public can submit opinions and suggestions in written or electronic form to us before 17:00 on July 7, 2025. The bidding will follow last year's rules and will be announced along with the finalized work plan and related documents.

It is proposed to support innovative drugs entering the basic medical insurance drug catalog and the commercial health insurance innovative drug catalog. On the basis of adhering to "basic protection," eligible innovative drugs will be included in the medical insurance catalog according to procedures. For innovative drugs necessary to respond to major public health events and other special circumstances, feasible paths for temporary inclusion in the medical insurance payment scope can be studied with relevant departments; a commercial health insurance innovative drug catalog will be added, focusing on innovative drugs with high innovation levels, significant clinical value, and substantial patient benefits that exceed the basic medical insurance coverage, recommending that commercial health insurance and medical mutual assistance and other multi-level medical security systems refer to their use.

【Market Outlook】

Hong Kong dollar exchange rate touches weak side convertibility guarantee, Hong Kong Monetary Authority buys HKD 20.018 billion

Overnight, the U.S. stock market closed with the Dow Jones Industrial Average rising 400.17 points from the previous trading day, closing at 44,494.94 points, an increase of 0.91%; the S&P 500 index fell 6.94 points, closing at 6,198.01 points, a decrease of 0.11%; the Nasdaq Composite Index fell 166.84 points, closing at 20,202.89 points, a decrease of 0.82%. Most large technology stocks closed lower, with Tesla down over 5%, Netflix down over 3%, Nvidia down over 2%, and Apple up over 1%.

Popular Chinese concept stocks showed mixed results, with the Nasdaq China Golden Dragon Index closing up 0.20%. The Hang Seng Index ADR rose, closing at 24,246.61 points, an increase of 174.33 points or 0.72% compared to the Hong Kong close.

At 2 a.m. Beijing time on July 2, the Hong Kong Monetary Authority bought HKD 20.018 billion in the market as the Hong Kong dollar exchange rate touched the weak side convertibility guarantee.

【Hot Topics Ahead】

Macau's gross gaming revenue in June reaches MOP 21.064 billion, up 19% year-on-year

According to Zhitong Finance APP, on July 1, the Macau Gaming Inspection and Coordination Bureau announced that the gross gaming revenue in Macau for June reached MOP 21.064 billion, a year-on-year increase of 19%. The cumulative gross gaming revenue in Macau for the first six months of this year reached MOP 118.771 billion, a year-on-year increase of 4.4%.

U.S. Senate passes "Too Big to Fail" bill On July 1st local time, the U.S. Senate passed a comprehensive tax reduction and spending bill and submitted it to the House of Representatives. The U.S. Senate approved the comprehensive tax reduction and spending bill proposed by President Trump with a vote of 51 to 50 that morning.

From January to May, China exported 279 million mobile phones, a year-on-year decrease of 7.7%

According to data from the Ministry of Industry and Information Technology, from January to May, the cumulative export delivery value of the electronic information manufacturing industry above designated size increased by 3.3% year-on-year, a decrease of 1.2 percentage points compared to January to April. According to customs statistics, from January to May, China exported 53.95 million laptops, a year-on-year decrease of 2.9%; exported 279 million mobile phones, a year-on-year decrease of 7.7%; and exported 135.9 billion integrated circuits, a year-on-year increase of 19.5%.

Fliggy: Summer travel service bookings for flights and hotels have significantly increased year-on-year

On July 1st, Fliggy released the "2025 Summer Travel Trend Report," showing that bookings for travel services such as flights, hotels, tickets, and car rentals have significantly increased year-on-year. The proportion of long-distance travel consumption has increased by 7 percentage points compared to the same period last year, with the Northwest, Northeast, and Southwest regions being popular summer vacation destinations. The data also shows that family trips are the main force in summer travel, accounting for 60%. In addition, the growth rate of the university student demographic is the fastest, with the number of trips increasing by 77% year-on-year.

Yamaton responds: The news of production cuts in the photovoltaic glass industry is true, and overseas market demand is huge

In response to the market news that leading domestic photovoltaic glass companies plan to collectively cut production by 30% starting in July, Yamaton's Secretary of the Board Liu Qin stated that the news of production cuts in the photovoltaic glass industry is true, and the capacity will be accelerated to clear, which will strongly promote the subsequent sustainable and healthy development of the industry. The competition in the domestic photovoltaic glass industry is becoming increasingly fierce, and the huge demand in overseas markets has opened up broad development space for photovoltaic glass companies. The company's board of directors recently reviewed and approved a proposal to invest in the construction of a photovoltaic glass production line with an annual output of 500,000 tons in the UAE, and the company will fully utilize local resource advantages to leverage its core technological advantages in the photovoltaic glass field, thereby promoting the effective layout of the company's overseas photovoltaic glass production capacity," Liu Qin said.

Guoquan (02517) plans to invest in the construction of a food production base in Danzhou, Hainan Province

According to Zhitong Finance APP, Guoquan (02517) announced that relying on the group's resources and advantages, the company plans to build a food production base in Danzhou, Hainan Province, with an estimated investment of approximately RMB 490 million (to be adjusted based on specific circumstances).

GAC Group (02238): The first model in cooperation with Huawei is expected to be launched in 2026

GAC Group stated on the interactive platform that Huawang Automobile, as an important carrier of the strategic cooperation between GAC Group and Huawei, will fully integrate the advantages of both parties in intelligent technology, product development, and industrial chain resources to create innovative products aimed at the high-end market of 300,000 yuan. Currently, the company is steadily advancing team building and product research and development, with the first model expected to be launched in 2026.

Shoucheng Holdings (00697) signs contracts with over 50 robotics companies and launches a global brand recruitment plan for "robot comprehensive experience stores" Zhitong Finance APP news, Shoucheng Holdings (00697) announced that the group successfully held a robot industry ecosystem summit and investor conference in Beijing recently, themed "Shoucheng Leading the Way, Intelligent Innovation for the Future." At the conference, the group signed agreements with over 50 robot companies on-site and announced the launch of a global brand recruitment plan for "robot comprehensive experience stores," injecting new momentum into the development of China's robot industry and promoting the strategic upgrade of robot industry services.

Maxonic Holdings (00179) plans to establish two equity joint ventures in China

Zhitong Finance APP news, Maxonic Holdings (00179) announced that its wholly-owned subsidiary, Maxonic Automotive Electric Co., Ltd., is negotiating to establish two equity joint ventures in China with a Chinese industrial company (joint venture partner) through two equity joint venture agreements.

BYD Company Limited (01211) sold 382,600 vehicles in June, a year-on-year increase of 12%, with cumulative sales of 2.146 million vehicles in the first half of the year, a year-on-year increase of 33%

BYD sold 382,600 vehicles in June, a year-on-year increase of 12%. Cumulative sales in the first half of the year reached 2.146 million vehicles, a year-on-year increase of 33%. Cumulative sales of new energy vehicles exceeded 12.7 million.

[Stock Highlights]

AVIC Aircraft (02357): The only aerospace high-tech industry group listed in Hong Kong

On June 24, the State Council Information Office confirmed at a press conference that a military parade will be held on September 3, with all participating equipment being domestically produced active main battle equipment. In addition to showcasing a new generation of traditional weaponry, some new combat forces such as unmanned intelligence, underwater operations, cyber offense and defense, and hypersonic capabilities will also be included in the parade.

Dongbei Securities pointed out that the global geopolitical situation is tense, and they are optimistic about investment opportunities in the military industry sector. The firm noted that since 2023, the fundamentals of the military industry have been affected by personnel adjustments and other factors, leading to delayed orders and a decline in industry prosperity. However, at this point, as the "14th Five-Year Plan" enters its final year, the disruptive factors in the military industry have been largely eliminated, downstream demand is showing a recovery growth trend, and the construction goals for 2027 are imminent. The medium- and long-term goals also provide clear guidance for industry development: achieving basic modernization of national defense and the military by 2035 and building the People's Army into a world-class military by 2050. With the recovery of demand and gradual optimization of capacity structure, the national defense and military industry sector is expected to see significant improvement, with high safety margins and long-term growth certainty.

CITIC International previously stated that AVIC Aircraft, with its dual layout in the military and civil aviation markets, will continue to benefit from strong demand in the aviation industry. The company is backed by the Aviation Industry Corporation of China, with its actual controller being the State-owned Assets Supervision and Administration Commission, and important subsidiaries including AVIC Helicopter, Hongdu Aviation, AVIC Avionics, and AVIC Optoelectronics. Since divesting its automotive business in 2009, the company has gradually grown into a high-tech aerospace enterprise focused on aviation complete machines, aviation parts, and aviation engineering services. From 2022 to 2023, the company has continued to promote major asset restructuring, with its subsidiary AVIC Electronics merging with AVIC Electromechanical through a share swap; its subsidiary AVIC Helicopter plans to acquire 100% equity of Harbin Aircraft and Changhe Aircraft