Sector Research | China Construction & Building Materials THIS IS THE TRANSLATION OF A REPORT ORIGINALLY PUBLISHED IN CHINESE BY GUOSEN SECURITIES CO., LTD ON September 7, 2012 September 7, 2012 Construction & Building Materials Another railway construction boom could emerge in China Event: Analysts Qiu Bo This week, China approved 30 urban railway transit projects by a number of local +86 755 82133390
[email protected] governments, intercity railway plans by Jiangsu and Inner Mongolia, feasibility study S0980510120021 reports on 13 subway lines in several cities, including Chengdu, Tianjin, Changchun, etc, Liu Ping +86 755 82130678 the No.1 subway line franchise project in Hangzhou and the second Gantang-Southern
[email protected] Weiwu railway line project. S0980512030001 Comment: Sales Contact Another massive railway transit construction boom may occur as the number of Dan Weil Global Head of Institutional Sales and Trading projects approved this time hit a three-year high. Managing Director +852 2248 3588
[email protected] The construction of a subway project usually lasts four years. Therefore, the Chris Berney construction of projects in seven cities approved in 2009 is drawing to an end, and it Managing Director is necessary to launch a new batch of projects to improve urban construction. On the +852 2248 3568
[email protected] other hand, we believe the NDRC’s latest move is also an important measure the government takes to stabilise economic growth. Roger Chiman Managing Director +852 2248 3598
[email protected] The investment in the 30 railway transit projects totals RMB427.8 billion and most of these projects are scheduled to be completed over 2012-15.