Energy storage concept stocks advanced broadly in Hong Kong trading. At the time of writing, Shuangdeng (06960) rose 5.45% to HK$13.16. REPT BATTERO (00666) climbed 5.23% to HK$16.30. CALB (03931) increased 5.16% to HK$28.54. GUOXIA TECH (02655) gained 3.73% to HK$49.00. CATL (03750) was up 3.57% to HK$667.00.

The rally follows a recent 60-page in-depth research report from Morgan Stanley titled "Power for AI: Flexible Power - The Next Wave of Growth in AI." The core argument suggests the primary bottleneck for AI development is shifting from computing power to electrical power, with Energy Storage Systems (ESS) positioned as the critical infrastructure to address this constraint.

Furthermore, geopolitical uncertainties are expected to further boost overseas energy storage demand. China Merchants Securities previously noted that within Europe's marginal clearing electricity pricing mechanism, LNG natural gas currently serves as the pricing anchor for the power market. Price increases for gas resulting from recent conflicts are likely to be effectively passed through to electricity prices, potentially triggering a new wave of demand for residential storage.

Wanlian Securities pointed out that domestically, China's energy storage sector is transitioning from policy-driven to market-driven development by 2026. Current improvements in project returns and sustained high growth in tender volumes highlight resilient downstream demand, supporting expectations for steady growth in installation capacity. Internationally, accelerated data center construction in the U.S. is generating demand for supporting energy storage infrastructure. Europe demonstrates strong demand for large-scale storage with high long-term growth certainty. Emerging markets like the Middle East and Australia, backed by strong policy support, are boosting demand for both large-scale and residential storage, providing multi-point support for global energy storage installations.