Everbright Securities released a research report stating that Fusion New Energy recently announced procurement projects exceeding CNY 2 billion, covering critical components such as power supply systems, cryogenic systems, and shielding blankets. With multiple projects in the fusion industry progressing steadily and new initiatives being launched, the sector has entered an intensive bidding phase. Key projects to monitor include BEST, "Spark-1," "China Circulation-4," and CFEDR.
Given the reshaping of power consumption structures driven by future AI industry development and the inclusion of nuclear fusion energy as a future industry in the 15th Five-Year Plan, the controlled nuclear fusion sector holds significant long-term growth potential, particularly in high-value segments.
**Key Observations from Everbright Securities:** 1. **Bidding Acceleration:** The BEST project has seen a noticeable increase in bidding activity. On October 1, 2025, the BEST cryostat base was successfully installed. Subsequent procurement announcements from Fusion New Energy indicate accelerated bidding, including key components like diverters and cryogenic transfer lines in October. By November, bidding further intensified, with projects worth over CNY 2 billion announced on November 13–14, covering power supply systems, cryogenic systems, and shielding blankets. Major procurements include: - Cryogenic system components (~CNY 728 million) - BEST ECRH gyrotrons (CNY 440 million) - BEST CC, CS, and PF magnet power supplies (CNY 189 million) - BEST assembly engineering (CNY 180 million) - BEST ion cyclotron wave source system (CNY 170 million) - BEST stainless steel shielding blocks (CNY 139 million) Bidding deadlines are set for December 4–9, 2025.
2. **Industry-Wide Expansion:** The fusion sector is entering a concentrated bidding period, with capital expenditures expected to grow. Besides Fusion New Energy’s projects, the Plasma Physics Institute of the Chinese Academy of Sciences recently announced procurements exceeding CNY 1.3 billion, focusing on tritium-related platforms.
3. **AI-Driven Power Demand:** McKinsey predicts data centers could account for 5%–9% of global electricity consumption by 2050 due to rising demand from cloud computing, cryptocurrency, and AI. Fusion energy, as the "ultimate energy source," holds strategic value, attracting investments from tech giants. For instance: - Helion signed a power purchase agreement with Microsoft in 2023 for 50MW of fusion power by 2028. - Google partnered with U.S.-based CFS in June 2025 to purchase 200MW from its planned ARC fusion plant. - CFS raised USD 863 million in August 2025, with backing from NVIDIA and Alphabet. - In November 2025, Chinese fusion firm Xingneng Xuanguang secured hundreds of millions in Pre-A funding led by Ant Group.
Everbright Securities highlights the long-term growth potential of controlled nuclear fusion amid AI-driven energy restructuring. Companies in high-value segments are poised to benefit. Recommended stocks include:
- **Vacuum chamber & components:** Hefei Forging Press (603011.SH), Guoguang Electric (688776.SH), AECC Aero Science (000969.SZ), Yingliu (603308.SH), Paker New Materials (605123.SH),
**Risks:** Potential delays in industry progress, policy uncertainties, and intensified competition.