Despite a continued decline in the A-share market on Monday, dragged down by external markets and rumors of institutional selling, the photovoltaic equipment sector has significantly outperformed the broader market. This surge is fueled by reports that Tesla plans to procure approximately $2.9 billion worth of solar manufacturing equipment from Chinese suppliers.
Elon Musk's $20 billion order has ignited photovoltaic stocks. Recently, it was reported that Tesla is planning to purchase solar manufacturing equipment valued at around $2.9 billion (nearly 20 billion yuan) from Chinese suppliers for its solar panel and battery manufacturing project in Texas, USA. Some of the equipment's output will also power SpaceX satellites. This news quickly boosted the stock prices of relevant A-share listed companies in the photovoltaic equipment sector.
On March 20th, A-share photovoltaic equipment concepts surged against the market trend, with Suzhou Maxwell Technologies Co.,Ltd., Jiangsu Heli Co., Ltd., and Laplace (Shanghai) Energy Technology Co., Ltd. experiencing significant gains. Although the overall market continued to correct on March 23rd, the photovoltaic equipment index showed noticeably stronger performance.
It is reported that Tesla's team has entered substantive discussions with several Chinese photovoltaic equipment companies. Some core enterprises have already applied for export licenses from China's Ministry of Commerce, and the relevant approval processes are advancing in an orderly manner.
Market experts believe that Tesla's massive procurement will have multi-dimensional and profound impacts on China's photovoltaic equipment sector. In the short term, the $2.9 billion order directly provides clear performance growth for related equipment companies, alleviating previous concerns about industry over-competition and driving sector valuation recovery. In the medium to long term, Tesla's choice serves as a high endorsement of Chinese photovoltaic equipment technology, which is expected to further enhance global recognition, accelerate the export of high-end equipment, and promote an industry transformation from exporting components to exporting the entire chain of "high-end equipment + core materials."
While Tesla, China's Ministry of Commerce, and the related companies have not officially commented on the reports, the market widely believes that Suzhou Maxwell Technologies Co.,Ltd., Jiangsu Heli Co., Ltd., and Laplace are among the core candidates for this procurement.
Suzhou Maxwell Technologies Co.,Ltd., as the world's largest supplier of solar cell screen printing equipment, has maintained the leading global market share for its production lines from 2016 to 2024. Its HJT (Heterojunction Technology) turnkey equipment holds over a 70% global market share. The company's HJT technology is suitable for both terrestrial and space-based photovoltaic applications.
Jiangsu Heli Co., Ltd. is one of the few global photovoltaic equipment suppliers that covers the entire technology spectrum, including TOPCon, HJT, and perovskite. It is currently the only supplier with TOPCon turnkey project capability, and its TOPCon equipment market share is industry-leading, highly aligning with the technical requirements for Tesla's planned 100GW terrestrial photovoltaic capacity.
Laplace, a leader in high-efficiency cell equipment, focuses on high-performance thermal processing, coating, and supporting automation equipment for photovoltaic cell manufacturing. Its LPCVD equipment holds over a 60% market share and meets semiconductor-grade precision standards.
Regarding the sector's future trajectory, institutional analysis suggests that this order catalyst, combined with an inflection point in industry fundamentals, could lead to a sustained rally. Current data shows a significant month-on-month increase in photovoltaic module production scheduling for March, stabilizing prices for silicon materials and cells, and looser policies for domestic distributed photovoltaics, all contributing to accelerated profit recovery for the industry. Coupled with the effect of concentrated institutional investment, the photovoltaic equipment sector, especially core leading companies, is poised for both valuation and earnings improvements.
Analysts point to the potential for exponential growth in space-based photovoltaic demand. Elon Musk's investment in photovoltaic manufacturing is seen as paving the way for orbital computing power and AI energy supply. Leading Chinese photovoltaic equipment manufacturers, with their strong capabilities for efficient iteration and rapid response, are well-positioned to enter the supply chains for Tesla Motors and SpaceX, securing substantial orders and unlocking new growth avenues. Furthermore, space-based photovoltaic equipment may carry a significant premium, leading to a leap in value.
The consensus among AI giants that "computing power must go to space" is expected to deeply benefit space-based photovoltaics as a primary energy source. This new narrative is projected to potentially open up a cumulative trillion-yuan market space for photovoltaic equipment, creating new incremental growth expectations for the industry.
Analysis indicates that space-based computing will achieve cost-effectiveness when the combined costs of the satellite power platform, launch, and space-based server manufacturing premium are less than or equal to terrestrial electricity expenses—a target deemed entirely achievable. Considering that grid connection timelines for ground-based data centers in North America have extended to five years or more, deploying space-based data centers could more smoothly and rapidly advance global AI computing power and related downstream applications, thereby creating broader demand scenarios for the space-based photovoltaic market. Investment opportunities arising from the acceleration of commercial spaceflight and space-based computing plans are focused on three main areas: satellite manufacturing, space-based photovoltaic equipment and cell suppliers, and suppliers of specialized encapsulation materials for the space environment.