On December 16, Sinopec Group held its first joint investor exchange event for listed companies in Beijing, marking the launch of its market value enhancement initiative. Cai Yong, a member of the Sinopec Group Party Leadership and Chief Accountant, stated that the initiative aims to boost investment value and enhance shareholder returns. The plan focuses on three key areas:

1. **Governance & Management**: Strengthening corporate governance and refining long-term management mechanisms, with emphasis on strategic development, capital operations, and talent development in capital markets. 2. **Shareholder Returns**: Improving disclosure quality, reinforcing investor relations, maintaining stable dividend policies, and conducting share buybacks to enhance returns. 3. **Capital Optimization**: Adjusting industrial layouts through M&A and equity financing to elevate sector value and extend the industrial chain toward high-end and specialized segments.

The event saw participation from executives of nine Sinopec-listed subsidiaries, including SINOPEC CORP (00386), SINOPEC SEG (02386), SHANGHAI PECHEM (00338), and SINOPEC KANTONS (00934), alongside representatives from state-owned regulators, central enterprises, and financial institutions.

CICC’s 2026 outlook suggests the petrochemical sector’s three-and-a-half-year downturn may reverse as capital expenditure declines and outdated overseas capacity exits. Supply-side improvements and rising demand from sectors like new energy could herald a cyclical rebound.

Related HK-listed chemical stocks: SINOPEC CORP (00386), SINOPEC SEG (02386), SHANGHAI PECHEM (00338), SINOPEC KANTONS (00934), CHINA SANJIANG (02198), and WUHAN YOUJI (02881).