Green Power and AI Computing Infrastructure Fuel A-Share Structural Bull Market
Industry Synchronization During Policy Implementation: Dual Drivers—Green Power and Computing Infrastructure—Fuel a Structural Bull Market in A-Share Equities
On the morning of March 25, China’s A-share market exhibited a rare combination of broad-based participation and robust strength: over 4,600 stocks across the Shanghai, Shenzhen, and Beijing exchanges rose, with 73 hitting daily trading limits. Both the CSI 1000 and CSI 500 indices broke out on surging volume, while the ChiNext Index surged more than 1.26% in a single day and the CSI 300 gained a solid 0.97%. Notably, Huadian Liaoning Energy soared to its eighth consecutive涨停 (daily limit-up), while over ten green-power stocks—including Jinchuan Power, Guangdong Electric Power A, and Hunan Development—also surged to their daily limits. Simultaneously, computing-related names—including optical modules, servers, and computing-leasing firms—remained highly active: Tongding Interconnection, MPM Optical Magnetics, and Cambricon all hit daily limits en masse. This was no isolated thematic surge, but rather a deep reflection of two major national strategies entering an intensive implementation phase: accelerated construction of a new-type power system and substantive rollout of a nationally integrated computing-power network. As a result, market leadership is shifting decisively—from earlier valuation-recovery logic toward an industry delivery logic grounded in verifiable earnings, scalable capacity, and policy-backed certainty.
Green Power Surge: From Installed-Capacity Races to Consumption Revolution
The current outperformance of the green-power sector appears, on the surface, driven by sentiment around stocks like Huadian Liaoning Energy—but its true roots lie in an imminent institutional breakthrough. According to the latest data from the National Energy Administration, wind and solar power installations nationwide surged 68% year-on-year in January–February 2024; yet curtailment rates for wind and solar remain stubbornly high at 3.2%. The core challenge has thus shifted—from “unable to generate” to “unable to transmit or consume.” Against this backdrop, mid-March saw a wave of supporting measures accompanying the Action Plan for Accelerating Construction of a New-Type Power System (2024–2030):
- For the first time, cross-provincial and cross-regional green-power trading was mandated to follow principles of “priority dispatching and full guarantee”;
- Pilot programs launched for provincial-level green-power traceability certification linked to carbon footprints;
- Crucially, the second batch of 12 provincial spot electricity markets commenced continuous settlement trials—Guangdong, Shandong, and Shanxi provinces have already expanded renewable energy bidding ranges to as low as –¥0.1/kWh, offering economic compensation to thermal power plants for deep-load regulation.
This marks a fundamental transformation in green-power operators’ revenue models: income streams are evolving from a single grid-connected tariff into a quadruple engine—power-volume revenue + ancillary-service compensation + green-certificates premium + carbon-asset sharing. Take Huadian Liaoning Energy, for example: its offshore wind project in Liaoning enjoys a benchmark feed-in tariff of ¥0.45/kWh—and through participation in the Northeast regional ancillary-services market, peak-shaving compensation alone accounted for 12% of its total quarterly revenue. Green-power investment logic is therefore pivoting—from “capacity-focused” to “consumption-capability–focused.” Companies possessing ultra-high-voltage transmission corridors, proprietary distribution networks near load centers, or direct-supply qualifications for industrial and commercial users will become the primary conduits of alpha.
Computing Infrastructure: From Conceptual Hype to Tender-Driven Realization
The strength in the computing sector likewise rests on solid industrial foundations. On March 21, the Ministry of Industry and Information Technology announced that all eight core nodes of the East Data, West Computing (EDWC) project have achieved direct network interconnection, and the national computing-power scheduling platform has successfully completed stress testing—with the first centralized tenders for intelligent computing centers expected to launch in Q2. The prior market concern over “computing overcapacity” is rapidly dissipating: IDC industry data shows GPU utilization rates at Tier-1 intelligent computing clusters in Beijing, Shanghai, Guangzhou, and Shenzhen consistently exceed 92%; a leading cloud provider in the Yangtze River Delta revealed that orders for its 10,000-GPU cluster are already booked through Q1 2025. More critically, large-model training paradigms are shifting from general-purpose foundation models toward industry-specific fine-tuning, triggering explosive demand for edge-side inference computing power—e.g., China Mobile’s recent tender for AI controllers on its 5G-Advanced network requires deployment of over 2,000 domestically produced Ascend 910B servers per project.
On the hardware front, yield rates for 800G optical modules have surpassed 85%, with Zhongji Xunyi and NewEase securing additional orders from NVIDIA. On the server side, Inspur Information and Sugon have increased their combined share in financial and government-sector tenders to 37%. Meanwhile, the computing-leasing model is fostering a new ecosystem: companies such as Hongbo Co., Ltd. and Hengrun Co., Ltd.—leveraging their IDC resources and GPU-cluster operations expertise—are executing a “light-asset, heavy-operations” transformation, with Q1 2024 computing-lease contract value doubling year-on-year. Computing investments have now definitively crossed beyond the thematic stage into a complete commercial loop: tendering → delivery → rack-up → monetization.
Upstream Cost Revaluation: Lithium-Price Volatility as a Signal of Industrial Repricing
Notably, lithium-carbonate prices surged ¥6,100/ton (+4.1%) in a single day—not an isolated fluctuation, but a symptom of a broader restructuring in the new-energy supply chain’s cost-transmission mechanism. On one hand, solid-state battery commercialization is accelerating: Ganfeng Lithium’s all-solid-state batteries have passed winter extreme-cold tests with automakers, sharply increasing demand for ultra-high-purity lithium feedstock. On the other, the EU’s New Battery Regulation is forcing domestic lithium-refining firms to upgrade carbon-footprint tracking systems; environmental-tech retrofits at Qinghai salt-lake lithium-extraction facilities have raised average marginal costs by 18%. Thus, the lithium-price rebound signals a structural shift—from cyclical bottom-level bargaining to technology-upgrade premium pricing. When green power supplies zero-carbon electricity for lithium-battery manufacturing, and computing power accelerates materials R&D via simulation and iteration, these three sectors are converging into a self-reinforcing virtuous cycle: green energy → intelligent computing → advanced manufacturing. Investors must move beyond simplistic price-direction analysis and instead focus on integrated “triple-capability” targets—those with lithium-resource self-sufficiency exceeding 60%, green-power procurement shares above 30%, and joint R&D agreements signed with top-tier intelligent computing centers.
Underlying Logic and Portfolio Implications of This Structural Bull Market
At its core, this rally reflects dual confirmation: policy execution capability and industrial capital efficiency. When the “dual-carbon” goal evolves from high-level design into concrete green-power trading rules—and when East Data, West Computing transitions from planning blueprints into quarterly tender schedules—the market completes its leap from expectation-driven to data-validated investing. The simultaneous breakout of both the CSI 300 and CSI 1000 on expanding volume precisely reflects investors rebalancing between blue-chip stability and growth-optionality. For portfolio allocation, focus should center on three dimensions:
- Beneficiaries of green-power consumption reforms—UHV transmission operators and shareholders of provincial power trading centers;
- Physical-layer builders of the computing-power network—optical-module makers, liquid-cooling equipment suppliers, and high-end server vendors;
- Platform-style enterprises with cross-sector synergy across green power, computing, and lithium batteries.
When policy catalysts and industrial capital resonate concretely in the real world, a structural bull market ceases to be a probabilistic game—and becomes a deterministic trend.