For several years of downturn, the industry as a whole is constantly thinking, settling, and summarizing the most crucial factors that cause low-level operation. In the past, the market was overstretched and the pressure of competition among enterprises after the infrastructure boom had drastically increased. The result is not difficult to imagine. In 2017, with the deepening of a series of policies, the industry as a whole turned from internal and external difficulties into a two-phase flowering with outstanding performance both at home and abroad. The new round of reshuffle has officially started. Expected in the next 3-5 years, the industry bullish scene still will not have much change, there is still plenty of market potential to dig.

New project landed

As mentioned in the report on the work of the two governments this year, it is necessary to actively expand effective investment and guide more funds in the fields of supplementing the shortfall, adjusting the structure, promoting innovation and benefiting the people's livelihood. This year, we must complete a total investment of 800 billion yuan in railway construction and 1.8 trillion yuan in water transport by roads. We will start 15 major water conservancy projects and continue to strengthen the construction of major projects in rail transit, civil aviation and telecommunications infrastructure. The central government allocated 507.6 billion yuan in investment budget. Implement and improve policies and measures to promote private investment.

Infrastructure investment is accelerating, PPP and "Belt and Road" force both inside and outside. In 2016, the growth rate of investment in fixed assets across the country was 8.1%. According to the 2017 draft national economic and social development plan, 2017 is expected to increase by about 9%. Recently, various local governments announced the target of increasing fixed assets in depth. In 2017, the total investment in fixed assets in 24 provinces and cities totaled nearly 50 trillion yuan, aiming to 12.4% growth. In addition, in particular, PPP further boosted infrastructure construction. As of December 2016, the total number of PPP projects has reached 12,260. The total investment in the PPP project reached 13.5 trillion yuan, with a project landing rate of 31.6%. Minister of Finance Xiao Jie recently said in an interview during the two sessions that as of the end of last year, 1,351 projects have been signed and the total investment reached 2.2 trillion yuan, the project floor rate has exceeded 30%. Compared with the beginning of the year, The number of investment, or the size of the investment, have increased by more than 4 times.

Follow the trend and move to develop

The long-term good fundamentals of China's economic development have not changed. The basic characteristics of a country with good economic resilience, sufficient potential and large space for maneuver have remained unchanged. The favorable basis and conditions for sustained economic growth have not changed. The outlook for economic restructuring and optimization has not changed. The structural reform of the supply-side and the reform of the fiscal and taxation system vigorously implemented by the state, the development of a new model of "public entrepreneurship, universal innovation" and "Internet +", the further promotion of "Made in China 2025" and the implementation of the "Belt and Road Initiative" The recovery of the machinery industry has brought opportunities.

Judging from the domestic market, the "Three-year Action Plan for Major Infrastructure Construction of Transport Infrastructure" clearly states that from 2016 to 2018, it will focus on major national transportation infrastructure projects. The total investment of the railway, highway, airport and city will be about 4.7 trillion yuan Investment opportunities in such projects as rail transit continue to emerge.

From the perspective of the international market, with the continuous promotion of the "Belt and Road Initiative", based on the fact that the original infrastructure in 65 countries along the Silk Road is weaker than before, the economic corridor is relying on transportation infrastructure construction as a breakthrough and the infrastructure investment in Asia Banks and Silk Road funds and other related funds with the support of the countries along the line will set off a wave of infrastructure construction.