Fiberhome Telecommunication Technologies Co. led Chinese phone equipment producers higher after the government said it will boost the investment in so- called third-generation cellular networks.
Fiberhome Telecommunication jumped 6.7 percent to 31.21 yuan at the midday break in Shanghai, the biggest gain in three months. The benchmark Shanghai Composite Index rose 0.5 percent.
China will boost its investment in 3G mobile-phone services to 400 billion yuan by 2011, the Shanghai Securities News reported today, citing a statement jointly released by eight ministries, including the Ministry of Information Technology.
China will build 400,000 telecommunications stations and expects 150 million 3G mobile-phone users next year, the newspaper said.
Jiangsu Hengtong Photoelectric Stock Co., a manufacturer of optical fiber and cables, advanced 5.7 percent to 35.94 yuan, while Jiangsu Yongding Co., a cable maker, surged 8.1 percent to 14.38 yuan.
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