ZHESHANG SECURITIES·2025-12-19 09:26Investment Rating - The industry investment rating is "Positive" (maintained) [5] Core Insights - The bidding for the plasma project has accelerated, with over 5.6 billion yuan in bids since 2025, and over 3.7 billion yuan in November alone, indicating a speed-up in project construction [1][10] - The focus of the industry is shifting from "scientific feasibility verification" to "engineering verification," as evidenced by the launch of the tritium fuel self-sustaining cycle system bidding, totaling over 1.3 billion yuan [2][12] - The controlled nuclear fusion sector is seen as the ideal ultimate energy source, with a resonance of "policy-industry-capital" expected to accelerate commercialization [3] Summary by Sections Section 1: Acceleration of Bidding for the BEST Project - The bidding for the BEST project has seen significant acceleration, with a total of over 3.7 billion yuan in November 2025 alone, compared to 1.6 million yuan and 2.4 million yuan in September and October respectively [10] - Key components have been awarded, including projects won by Hangyang Co., Ltd. for low-temperature systems and by Wangzi New Materials for magnetic power storage systems, enhancing certainty in the supply chain [1][11][12] Section 2: Launch of Tritium Factory Bidding - The tritium factory bidding was initiated on November 12, with a total amount exceeding 1.3 billion yuan, marking a critical phase in the BEST project [2][12] - Tritium self-sustaining is crucial for the commercial operation of fusion reactors, indicating a shift in focus towards solving core engineering challenges necessary for future fusion power plants [2][13] Section 3: Policy-Industry-Capital Resonance - The industry is entering the engineering feasibility verification stage, with a Q value greater than 1 indicating potential energy gain, and a Q value greater than 30 suggesting the possibility of commercialization [3] - The policy framework for controlled nuclear fusion is strengthening, with significant support from national planning and legislative measures, including its inclusion in the "14th Five-Year Plan" [3][25] - Capital inflow is diversifying, with significant investments in the fusion sector, including the establishment of the China Fusion Energy Company with a registered capital of 15 billion yuan [3][26] Section 4: Investment Recommendations - Focus on core suppliers and flexible targets, particularly in the midstream equipment sector, including companies like Lianchuang Optoelectronics, Xuguang Electronics, and Hangyang Co., Ltd. [3][30] - Upstream material companies such as Yongding Co., Ltd. and Western Superconducting Technologies are also highlighted as potential investment opportunities [3][30]