Dongyue Group (00189) saw an intraday surge of nearly 4%, with shares up 3.13% to HK$10.55 by press time, recording a turnover of HK$56.77 million.

The 2026 HCFCs/HFCs quota allocations for enterprises have been released. Huatai Securities noted that HFCs quota policies demonstrate strong continuity, maintaining tight supply constraints for mainstream products. Coupled with high industry concentration, favorable competitive dynamics, and robust demand from household/automotive air conditioning sectors, HFCs are expected to sustain high market vitality. Additionally, fluorochemical companies' PVDF and fluorinated fluid businesses may benefit from growing downstream demand in new energy and AI sectors.

Ping An Securities highlighted that second-generation refrigerant quotas will face further cuts in 2025, while third-generation refrigerant quotas will see limited year-on-year growth. With supply-side constraints and demand bolstered by domestic subsidies—supported by steady growth in home appliance and automotive sectors—the refrigerant supply-demand balance is improving. The firm recommends focusing on industry leaders with advanced third-generation refrigerant production capacity.