ZJ INNOLIGHT (03308) shares climbed more than 7% in the morning session before sharply reversing course in the afternoon. As of press time, the stock was down 3.65% at HK$1,109, with a turnover of HK$2.133 billion.

On the news front, Applied Optoelectronics Inc. (AAOI.US) management stated during its earnings call that demand driven by AI infrastructure remains robust, with customer requirements exceeding AAOI's current supply capacity by approximately 20% to 40%. The company's near-term growth ceiling is primarily determined by production capacity and the availability of key materials. AAOI expects 800G revenue to grow nearly five times sequentially in the third quarter, with its first 1.6T product set to complete customer certification within the coming weeks and begin shipping later in the third quarter. Capital expenditure intensity is expected to be higher in the second half of the year compared to the first half.

Notably, recent rumors of a U.S. optical module ban have stirred the optical communications sector. AAOI, as a direct producer of high-speed data communication optical modules, is seen as the most immediate substitute. A representative from ZJ INNOLIGHT (03308)'s securities affairs department stated that the company has taken note of the market information. After verification, the FCC has not yet issued any restrictive documents in this area. When asked about the potential impact of such a ban, the representative said that since it has not been issued, they will not comment at this time.