BOC International: Domestic anti-"involution" + Musk's space photovoltaic expansion resonate, with the key still lying in equipment and materials.

BOC International released a research report stating that Musk once again expressed his intention to build 100GW of photovoltaic capacity. His capacity plan may extend to the upstream silicon materials and silicon wafers, benefiting core equipment in materials, wafers, batteries, and components. In the long term, material companies have market expansion space. China's Ministry of Industry and Information Technology has clarified the main line of "anti-individualism" in the photovoltaic industry, expecting the industry to self-regulate production, optimizing the layout of batteries and components. China is accelerating the industrialization of space photovoltaics, maintaining a rating of industry strength over the general market. Key points of BOC International are as follows: The Ministry of Industry and Information Technology has once again clarified the main line of "anti-individualism" in the photovoltaic industry, focusing on sorting out industrial chain prices. According to the report from the Ministry of Industry and Information Technology, on January 28, 2026, the Minister of the State Council held a forum for entrepreneurs in the photovoltaic industry. The meeting emphasized that "anti-individualism" is the main contradiction in the standardized management of the photovoltaic industry. The meeting proposed to comprehensively use methods such as capacity regulation, prevention of monopoly risks, protection of intellectual property rights, and promotion of technological progress to jointly promote the return of the photovoltaic industry to a track of benign competition and rational development. The industry is expected to self-regulate production under the spirits of "preventing monopoly risks" and "capacity regulation". This will ultimately promote the rationalization of industrial chain prices and prevent scenarios where one sector makes huge profits while others incur losses. Overall, this meeting is a summary of the year and outlook for the next year, with the expectation that "anti-individualism" will still be one of the main themes in the photovoltaic industry in 2026. With the rapid rise in silver prices, the layout of batteries is expected to optimize, and end-component manufacturers will pass through the cyclical bottom through the "anti-individualism price rise" + "silver reduction" plan. Musk may want to build integrated photovoltaic production capacity, equipment and materials may benefit. On January 28, 2026, Tesla held a conference call, during which Musk once again stated his intention to increase investment in ground-based photovoltaics, space photovoltaics, and proposed to build a 100GW photovoltaic industry chain production capacity. The core margin change lies in the possibility that Musk's expansion of photovoltaic production capacity is not limited to the battery and component fields. His production capacity construction plan may further extend to the upstream silicon materials and silicon wafers, establishing a complete photovoltaic industry chain. Overseas key manufacturers' expansion plans are gradually becoming clear and are expected to bring incremental orders to Chinese photovoltaic equipment manufacturers. These orders are likely to extend to upstream silicon materials and silicon wafers, driving the photovoltaic equipment industry out of the cyclical bottom. In the long run, the expansion of overseas photovoltaic production capacity has incremental demand for auxiliary materials, and leading auxiliary material companies are expected to benefit. China is accelerating the industrialization of space photovoltaics, with multiple technological routes progressing side by side. China has a deep foundation in photovoltaic technology research and development. Photovoltaic equipment, battery, and component manufacturers are actively promoting the commercialization of space photovoltaics. China's space photovoltaic technology is still in the early stages of development. Under various scenarios of space photovoltaics, technology routes including gallium arsenide, crystalline silicon, and perovskite have not yet converged. It is difficult to predict the final outcome of the industry's development at this stage. In the short term, various technology routes will continue to progress side by side, always centered around equipment, materials, and batteries. In specific directions, after overseas manufacturers determine their technological directions, relevant equipment and materials are expected to stand out. Investment recommendation Musk has once again expressed his intention to build 100GW of photovoltaic capacity. His capacity plan may extend to upstream silicon materials and silicon wafers, benefiting core equipment in materials, wafers, batteries, and components. In the long term, material companies have market expansion space. China's Ministry of Industry and Information Technology has clarified the main line of "anti-individualism" in the photovoltaic industry, expecting the industry to self-regulate production, optimizing the layout of batteries and components. China is accelerating the industrialization of space photovoltaics. We recommend focusing on Hangzhou First Applied Material, Shenzhen S.C New Energy Technology Corporation, Hainan Drinda New Energy Technology, Suzhou Maxwell Technologies, Jinko Solar, Trina Solar Co., Ltd., LONGi Green Energy Technology, Shanghai Hiuv New Materials Co., Ltd, and suggest paying attention to Wuxi Autowell Technology Co., Ltd., Shuangliang Eco-Energy Systems, Risen Energy, Shanghai Geoharbour Construction Group Co., Ltd., and J.S. Corrugating Machinery. Risk reminder: Adverse fluctuations in raw material prices; risks of international trade friction; new technological progress falling short of expectations; risks of new energy policies; risks of consumption.