Green and low-carbon has been deeply integrated into the development texture of the construction and building materials industry from the top-level strategy, and the in-depth advancement of the urban renewal strategy has allowed green building materials to usher in a dual explosion of both the stock and incremental markets.
Recently, CCTV’s “Chaowen Tianxia” reported that my country’s green building materials revenue exceeded 61 billion yuan in the first quarter, a year-on-year increase of 12%, laying a solid foundation for the full-year revenue target of 300 billion yuan.
Behind the data, it reflects the continued release of market demand and the inevitable trend of industry transformation towards low-carbonization.
At the same time, the “15th Five-Year Plan for Urban Renewal”, which has just been reviewed by the State Council executive meeting, clearly states that it will drive investment in related fields of no less than 15 trillion yuan in the next five years.
At present, more than 690 cities across the country have carried out mandatory “urban physical examinations”. Scenarios such as infrastructure renewal, stock renovation, and quality improvement of old communities may bring development to companies with technological innovation advantages and systemic service capabilities.
As a leader in building materials system services, the market advantages of Dongfang Yuhong (002271.SZ) are revitalizing in the resonance of national policy guidance and industry development trends.
Relying on high-potential scientific research platforms such as the National Key Laboratory of Advanced Waterproof Materials, Oriental Yuhong continues to research green and low-carbon technologies for building materials. Its modified asphalt waterproofing membrane roof energy-saving and low-carbon technology layer is the only advanced technology in the waterproofing industry and was selected into the “Beijing Green and Low-carbon Advanced Technology Recommended Catalog (2025)”.
In terms of key technology research, Oriental Yuhong not only successfully unveiled the Ministry of Housing and Urban-Rural Development’s first batch of “good materials suitable for good houses” technology research projects of roof waterproofing, radiant insulation, and new thermal insulation, but also became the first Chinese company to issue environmental product statements for waterproof products in EPD International.
In terms of promoting the deep integration of AI and industrial manufacturing, Oriental Yuhong has joined forces with the National Key Laboratory of Advanced Waterproof Materials and the School of Materials Science and Technology of Peking University to jointly build the “AI Empowered Advanced Waterproof Materials Innovation Alliance”. It will use AI cross-scale intelligent design large models to innovate the traditional R&D model and create an exclusive vertical large model for the waterproof industry. It will benefit the entire industry chain, lower the technology application threshold, and effectively promote the commercialization of cutting-edge technologies.
At the same time, Oriental Yuhong has systematically integrated green and low-carbon concepts into the entire production and manufacturing process. Relying on more than 90 production, R&D and logistics bases around the world, through the implementation of 5S management, lean production, equipment upgrades, process optimization and other measures, it has systematically built a green production system with efficient resource utilization and precise waste management and control.
As of the end of 2025, Oriental Yuhong has 9 national-level “green factories” and 14 provincial-level “green factories”, and has obtained 19 types of international or national authoritative certifications covering six continents. The scope of certification covers all dimensions of production management, performance quality, energy saving and low-carbon, environmental protection and health, and has won the industry’s first “product carbon footprint certification” and “carbon management system certification”.
On the product side, its main products such as waterproofing membranes and waterproof coatings have successively passed EU CE and French A+ certifications, and a number of systemic products such as “High Weather Resistance Reflective Insulation Flat Roof Waterproofing System” have been selected into the Ministry of Housing and Urban-Rural Development’s “Good House” construction suitable building materials product list. The environmental performance and construction safety have been widely recognized by the market.
In addition, beyond the supply of a single product, Oriental Yuhong has further built an integrated system solution represented by the “Building Photovoltaic Waterproof Integrated System”.
Innovative solutions such as the “Hongsheng” new energy roof and the Yuhong Taohuayuan zero-slope organized anti-drainage and water storage system are deeply in line with the national “sponge city” and “urban renewal” strategic requirements. They transform policy-oriented technical achievements into engineering practices that can be applied in batches, experienced and sensed, and promoted and replicated, and effectively help improve the urban and rural living environment.
Facing the existing market opportunities brought about by urban renewal, Oriental Yuhong proactively seizes the market initiative with systematic capabilities and service upgrades.
First of all, Oriental Yuhong goes beyond single product supply and further builds integrated system solutions represented by “building photovoltaic waterproofing integrated system”.
Innovative solutions such as the “Hongsheng” new energy roof and the Yuhong Taohuayuan zero-slope organized anti-drainage and water storage system are deeply in line with the national “sponge city” and “urban renewal” strategic requirements. They transform policy-oriented technical achievements into engineering practices that can be applied in batches, experienced and sensed, and promoted and replicated, and effectively help improve the urban and rural living environment.
Secondly, the company launched the C-end service brand “Yuhong” in 2025, using the “Internet + waterproof maintenance” model to enter the existing house maintenance market, building a one-stop system service system, and serving more than 120,000 households that year.
It relies on digital means to build a full-process closed-loop service, accurately matching the personalized needs of urban renewal projects, and further promoting the deep penetration of green building materials in the existing market.
The huge market space for urban renewal during the “15th Five-Year Plan” period has already established solid fundamentals for the building materials and waterproofing industry to grow in the medium and long term.
At present, industry market competition is gradually turning to an all-round competition of technology research and development, green production capacity, global channels, and comprehensive service capabilities.
Relying on early launch, profound technological accumulation and scale advantages, leading companies are taking the lead in seizing high-quality tracks such as old renovation, pipe network renovation, and green building supporting facilities in the context of urban renewal.
In the long run, with the continued expansion of special bonds for urban renewal, the normalization of urban physical examinations, and the continuous implementation of mandatory application standards for green building materials, the industry’s growth logic will be driven by short-term policy benefits and gradually shift to a two-wheel drive of deep exploration of the existing market and green value realization, and Oriental Yuhong’s comprehensive advantages will continue to be highlighted in the high-quality development process of the industry.
