As the leader of the new generation of technological revolution, the concept of 3D printing has repeatedly "turned the tide" in the A-share market; recently, the Ministry of Science and Technology announced the "Guidelines for the Collection of Alternative Projects in the National High-tech Research and Development Program (863 Program) and the National Science and Technology Support Program Manufacturing Field in 2014", in which the highly-watched 3D printing industry was selected for the first time. Analysts pointed out that with the support of national funds, the conditions for 3D printing to turn from virtual to real are in place, and China's 3D printing industry will usher in a period of rapid development; and the inclusion of 3D printing in the 863 Program provides an opportunity for the development of the industry. In the secondary market, 3D printing concept stocks such as AVIC Heavy Machinery (600765), Haiyuan Machinery (002529) and Huazhong Numerical Control (300161) will benefit greatly.

Selected for the 863 Program and Received Funding Support

The Ministry of Science and Technology recently announced the "Guidelines for the Collection of Alternative Projects in the National High-tech Research and Development Program (863 Program) and the National Science and Technology Support Program Manufacturing Field in 2014", and the 3D printing industry, which has caused a global upsurge, was selected for the first time. Analysts said that this reflects the degree of attention at the national level, and China's 3D printing industry will usher in a period of rapid development.

The "Guidelines" mentioned that it is necessary to break through the core key technologies in 3D printing manufacturing technology, develop key equipment products, and conduct verification in related fields, and initially have the technology, equipment and industrialization conditions for comprehensive promotion and application. Among them, it involves the development and application of laser melting forming equipment for large aerospace parts, the development and application of large laser sintering forming equipment for complex parts mold manufacturing, the development and application of high-temperature and high-pressure diffusion connection equipment for complex parts with integrated material structure, and the research and application demonstration of key technologies for personalized customization in the home appliance industry based on 3D printing manufacturing technology. A total of no more than 40 million research funds have been allocated.

Some analysts said that the inclusion of 3D printing technology in the 863 Plan, especially the national funding to support the research and development of the industry, reflects the importance the country attaches to 3D printing. 3D printing is a revolution in manufacturing technology and an important part of China's manufacturing upgrade. After more than 20 years of development, 3D printing technology has become a new industry with a scale of 1.68 billion US dollars worldwide, and is growing at an average annual rate of 20%-30%.

Market insiders pointed out that 3D printing technology has huge advantages such as low manufacturing cost and short production cycle, and its large-scale promotion will help improve the technological content of Chinese products. China is a major manufacturing country, but the technological content and industrial added value of its products are relatively low, and the competitiveness of the international export market is relatively low, so industrial upgrading is imperative. In the medium and long term, the 3D industry has huge market development space; with the support of the state, China's 3D printing industry will usher in a period of rapid development.

3D printing at a speed of one second will be unveiled in May

According to relevant media reports, the first 3D printing experience hall in Shanghai will be unveiled at the first China (Shanghai) International Technology Import and Export Fair, which will open on May 8 this year, and visitors will be able to experience the most advanced 3D printing technology. Not only that, in the 3D printing technology zone, the world's fastest "second printer" and other technological innovation products will also be displayed.

It is reported that the Shanghai International Technology Fair will be held in Shanghai from this year, and the first session will be held at Shanghai World Trade Center and Shanghai International Exhibition Center from May 8 to 11. The theme of this Shanghai International Technology Fair is "Innovation drives development, protects intellectual property rights, and promotes technology trade", and the goal is to build four platforms, namely, an international technology display and trading platform, an international high-tech promotion and application platform, an enterprise obtaining international technical support platform, and an invention and creation technology transformation platform.

In order to highlight the protection of intellectual property rights, the Shanghai International Technology Fair also formulated an intellectual property protection plan and the "Shanghai International Technology Fair Patent Dispute Handling Rules", and set up a 200-square-meter intellectual property service station at the exhibition hall.

In addition, the 6th Nanjing International Exchange and Cooperation Conference for Chinese Students Studying Abroad was held at the Nanjing International Expo Center in Jiangsu on the same day. A pair of plastic high heels printed by a 3D printer was also displayed on site, which amazed the visitors.

3D printing stocks attract attention again

Driven by the inclusion of the 3D industry in the Ministry of Science and Technology's 863 Plan, the 3D printing industry may gradually usher in a period of development. Among them, AVIC Heavy Machinery, Haiyuan Machinery and Huazhong CNC, which are involved in 3D printing business, are worth continuing to pay attention to.

AVIC Heavy Machinery (600765): In December 2011, the AVIC Laser Company, which the company participated in establishing, completed its industrial and commercial registration to implement engineering industrialization of the laser rapid prototyping technology that Professor Wang Huaming and his team have been researching for many years. Wang Huaming is a doctor of engineering and a German "Humboldt Scholar". He is currently a distinguished professor of the "Changjiang Scholars Award Program" of the Ministry of Education, director of the "Beijing Large Key Metal Component Laser Direct Manufacturing Engineering Technology Research Center", chief technical expert of the National Defense 973 Project, and leader of the "High-Performance Metal Materials Laser Preparation and Forming" innovation team of the Ministry of Education. He enjoys the special government allowance of the State Council. In the secondary market, the stock has continued to fluctuate downward since March, and joined the strong stock compensation queue before the holiday; in the short term, the stock has been adjusted relatively fully. Once there is a positive stimulus on the news, it is likely to launch an upward attack again.

Haiyuan Machinery (002529): In March 2013, the company signed a purchase and sales contract with Kunshan Yongnian and Jiangsu Yongnian to purchase a 3D printing forming platform with a total amount of 2.41 million yuan. After the equipment is delivered and put into use, the company will have the basic conditions for conducting research on 3D printing manufacturing process technology for composite materials, ceramics, silicates and other materials. In January 2013, the company signed a letter of intent with Kunshan Yongnian to establish the "Haiyuan 3D Printing Manufacturing Laboratory" to carry out research on 3D printing manufacturing process technology for composite materials, ceramics, silicates and other materials. The 3D printing manufacturing laboratory is currently under construction. In the secondary market, the stock has continued to fluctuate and fall after reaching its peak at the end of February this year. The decline further increased last week, and the adjustment was relatively sufficient. After the holiday, the stock is expected to rebound under the background of good news.

Huazhong CNC (300161): On July 13, 2012, the Q2 quarterly technology conference organized by the Forming & Institutional Product Technology Committee of Foxconn Group was held in Foxconn Shenzhen Longhua Park. The company was invited to participate in the conference and fully displayed the latest technologies and products such as Huazhong 8 bus-type high-end CNC system, all-electric injection molding machine control system, energy-saving electro-hydraulic hybrid servo drive and motor, 3D printing equipment, etc., and achieved good results. The team of Professor Shi Yusheng of Huazhong University of Science and Technology is in a leading position in the research and development of 3D printers in China. In the secondary market, the stock showed signs of peaking in late January. Although its performance has fluctuated since then, it is still in a fluctuating downward channel overall. Last week, the stock's decline slowed down, and there are signs of stopping the decline and stabilizing in the short term. After the holiday, boosted by good news, it is expected to launch a counterattack again.

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