Core Insights - The development of AI has led to significant power consumption issues, making liquid cooling solutions increasingly essential for data centers and high-density computing environments [1] - The Chinese liquid cooling server market is projected to reach $2.37 billion in 2024, representing a year-on-year growth of 67.0%, and is expected to grow to $3.39 billion in 2025, with a compound annual growth rate (CAGR) of 46.8% from 2024 to 2029, ultimately reaching $16.2 billion by 2029 [1] - The demand for liquid cooling fluids is also expected to surge alongside the growth of the liquid cooling market [1] Liquid Cooling Fluids - Various options for liquid cooling fluids are available, with glycol, propylene glycol, and water being predominant in cold plate cooling, while oil, silicone, and fluorinated liquids are used in immersion cooling [2] - Fluorinated liquids are becoming a critical component in both immersion and cold plate cooling systems due to their surface tension, insulation properties, and material compatibility, especially in high-power density AI server applications [2] - The exit of 3M from the market presents growth opportunities for domestic companies in the high-performance fluorinated liquid segment [2] Investment Recommendations - The rise of AI has created significant power and cooling challenges, positioning liquid cooling as a vital solution, with liquid cooling fluids expected to grow rapidly [2] - Companies that are early entrants into the liquid cooling supply chain are likely to benefit, with specific recommendations to focus on firms such as Dongyangguang, Xinzhoubang, Runhe Materials, Juhua Co., Yonghe Co., Haohua Technology, Jinshi Resources, Dongyue Group, Yongtai Technology, Huayi Group, Sanmei Co., Unity Co., Bayi Shikong, Changlan Technology, Xin'an Co., and Jitai Co. [2]

Investment Rating - The report maintains a "Buy" rating for several companies including Xinyangfeng, Senqilin, Ruifeng New Materials, Sinopec, Juhua, Yangnong Chemical, CNOOC, Tongkun, Daotong Technology, and others [10]. Core Viewpoints - The report highlights significant price increases in battery-grade lithium carbonate (up 10.79%) and industrial-grade lithium carbonate (up 10.78%), while sulfur and liquid chlorine experienced notable declines [4][7]. - It suggests focusing on investment opportunities in areas such as import substitution, pure domestic demand, and high dividend stocks, particularly in light of the current geopolitical tensions affecting oil prices [6][18]. - The overall chemical industry remains under pressure, with mixed performance across sub-sectors due to past capacity expansions and weak demand, although some sectors like lubricants are performing better than expected [21]. Summary by Sections Chemical Industry Investment Suggestions - The report recommends paying attention to the glyphosate industry, which is showing signs of recovery with decreasing inventory and rising prices, suggesting potential investment in companies like Jiangshan Co., Xingfa Group, and Yangnong Chemical [21]. - It also emphasizes selecting stocks with strong competitive positions and growth potential, particularly in the lubricant additive sector and coal-to-olefins industry [21]. - The report notes that domestic demand for chemical fertilizers and certain pesticide sub-products remains robust, with companies like Hualu Hengsheng and China Heartlink Fertilizer being highlighted for investment [21]. Price Trends of Chemical Products - The report details recent price movements, with significant increases in battery-grade lithium carbonate and PTA, while products like sulfur and liquid chlorine saw declines [4][5][19]. - It mentions that the international oil price is expected to stabilize around $65 per barrel, which could benefit companies with high dividend yields and those that are sensitive to raw material cost reductions [6][18]. Market Dynamics - The report discusses the impact of geopolitical tensions on oil prices, particularly the situation in Venezuela and the EU's sanctions on Russia, which have contributed to recent price fluctuations [22][23]. - It highlights the weak trading atmosphere in the coal market, with prices declining due to limited demand and cautious market sentiment [29][30]. - The report notes that the polypropylene market is experiencing downward pressure due to weak demand and increased supply, while the PTA market is expected to remain strong due to ongoing inventory reduction [31][35].

证券日报网讯 12月29日，巨化股份在互动平台回答投资者提问时表示，公司将认真评估并持续优化公 司官网建设。 （文章来源：证券日报） ...

Investment Rating - The report maintains an "Outperform" rating for the industry [1] Core Insights - The rapid development of AI is driving the demand for liquid cooling solutions due to increasing power consumption in data centers and high-density computing environments. Liquid cooling is becoming essential for temperature control in AI computing centers, outperforming traditional air cooling methods [2][4] - The Chinese liquid cooling server market is projected to reach $2.37 billion in 2024, growing by 67% year-on-year, and is expected to reach $3.39 billion in 2025, with a compound annual growth rate (CAGR) of 46.8% from 2024 to 2029, ultimately reaching $16.2 billion by 2029 [2][49][59] - The exit of 3M from the fluorinated liquid market presents opportunities for domestic companies to develop high-performance cooling fluids, which are becoming critical components in liquid cooling systems [2][4] Summary by Sections 1. Liquid Cooling Technology Demand - The demand for liquid cooling technology is driven by the increasing power density of GPUs and CPUs in data centers, with power design requirements reaching 350-800W. Liquid cooling offers higher efficiency and lower noise compared to air cooling, making it a preferred solution for high-density environments [14][16][49] 2. Liquid Cooling Market Growth - The liquid cooling market is expanding rapidly, with significant growth opportunities in emerging industries such as data centers, robotics, and renewable energy storage. The market for liquid cooling servers in China is expected to grow significantly, with a projected CAGR of 46.8% from 2024 to 2029 [2][44][59] 3. Liquid Cooling Fluids - Various cooling fluids are used in liquid cooling systems, including ethylene glycol, propylene glycol, and fluorinated liquids. The demand for fluorinated liquids is increasing due to their unique properties, making them essential for high-performance cooling applications [5][66] 4. Investment Recommendations - Companies involved in the liquid cooling supply chain, such as Dongyangguang, Xinzhoubang, and Junhe Materials, are recommended for investment as they are expected to benefit from the growth in the liquid cooling market [2][4][6] 5. Policy Support - The Chinese government is promoting the development of liquid cooling technologies through various policies aimed at reducing energy consumption in data centers, which is expected to further drive market growth [36][58]

Investment Rating - The industry investment rating is "Overweight" [1] Core Insights - The report highlights a recovery in the price of photovoltaic silicon wafers, indicating a positive trend in the solar energy sector. Additionally, major companies such as Mitsui Chemicals are consolidating their ethylene businesses, which may enhance operational efficiencies [1][34]. Summary by Sections Industry Performance - The chemical sector ranked 7th in overall performance for the week of December 22-26, 2025, with a gain of 4.23%. This performance outpaced the Shanghai Composite Index by 2.35 percentage points [3][20]. Key Industry Trends - The report notes a continued divergence in the chemical industry’s prosperity, with recommendations to focus on synthetic biology, pesticides, chromatography media, sweeteners, vitamins, light hydrocarbon chemicals, COC polymers, and MDI [4][5]. Synthetic Biology - The report emphasizes the arrival of a pivotal moment for synthetic biology, driven by energy structure adjustments. Traditional chemical companies are expected to face competition based on energy consumption and carbon tax costs. Companies that leverage green energy and scale advantages are likely to thrive [5]. Refrigerants - The upcoming quota policy for third-generation refrigerants is expected to lead to a high-growth cycle. The supply of second-generation refrigerants is being reduced, while demand remains stable due to market expansions in heat pumps and cold chains [6]. Electronic Specialty Gases - The electronic specialty gas market is characterized by high technical barriers and value addition. The domestic market is facing a mismatch between rapid upgrades in wafer manufacturing and insufficient high-end electronic specialty gas capacity, presenting opportunities for domestic replacements [7][8]. Light Hydrocarbon Chemicals - The trend towards light raw materials in the global olefin industry is highlighted, with a shift from heavy naphtha to lighter alkanes like ethane and propane. This transition is expected to enhance production efficiency and align with global carbon neutrality goals [8]. COC Polymers - The report discusses the accelerated industrialization of COC/COP materials in China, driven by domestic companies achieving breakthroughs and the increasing demand from downstream industries [9]. Potash Fertilizers - Potash fertilizer prices are anticipated to rebound as major producers reduce output, alleviating inventory pressures. The report suggests that the market is entering a destocking phase, which could lead to price stabilization [10]. MDI Market - The MDI market is characterized by oligopolistic supply dynamics, with major players controlling over 90% of global capacity. Despite current price pressures, the long-term outlook remains positive as demand recovers [11].

Group 1 - The PVDF concept sector experienced a decline of 1.68%, ranking among the top losers in the concept sector, with companies like Duofuduo, Shenzhen Xinxing, and Putailai showing significant declines [1] - Among the PVDF concept stocks, three companies saw price increases, with Jinming Precision Machinery rising by 0.63%, Zhejiang Zhongcheng by 0.18%, and ST Lianchuang by 0.17% [1] - The main capital outflow from the PVDF concept sector today was 1.457 billion yuan, with 17 stocks experiencing net outflows, and six stocks seeing outflows exceeding 10 million yuan [2] Group 2 - Duofuduo had the highest net capital outflow of 1.114 billion yuan, followed by Juhua Co., Shenzhen Xinxing, and Dongyangguang with net outflows of 148 million yuan, 62.397 million yuan, and 40.527 million yuan respectively [2] - The top stocks in terms of capital outflow within the PVDF concept included Duofuduo (-8.06%), Shenzhen Xinxing (-7.66%), and Putailai (-3.17%) [3] - The trading volume for Duofuduo was 20.47%, indicating significant trading activity despite the price drop [3]

Group 1 - The core viewpoint of the article indicates that with the rapid development of new energy vehicles, the company anticipates that R134a will maintain a tight balance in 2026 [1] - The company plans to respond proactively to changes in global market demand for different varieties, aiming to maintain a healthy supply order [1] - The company emphasizes its commitment to seizing market opportunities and creating value for society and shareholders [1]

格隆汇12月29日丨巨化股份(600160.SH)在互动平台表示，2026年，随着新能源汽车快速发展，公司预 计R134a将维持紧平衡，公司将根据全球不同品种的市场需求变化顺势而为、全面统筹、主动作为，努 力维护健康供应秩序，把握市场机遇，创造价值回报社会和股东。 ...

Group 1 - The fluorochemical index increased by 7.76% this week, outperforming the Shanghai Composite Index by 5.88% [2] - The fluorochemical index closed at 5333.59 points, marking a 7.76% increase, and surpassed the performance of the CSI 300 Index by 5.81% and the basic chemical index by 3.18% [2] - The average price of fluorite 97 wet powder remained stable at 3,290 CNY/ton as of December 26, with a December average of 3,300 CNY/ton, reflecting a year-on-year decline of 10.13% [3] Group 2 - The prices of refrigerants as of December 26 are as follows: R32 at 63,000 CNY/ton, R125 at 47,500 CNY/ton, R134a at 58,000 CNY/ton, R410a at 54,000 CNY/ton, and R22 at 16,000 CNY/ton, with various price changes noted [4] - There is a recovery in confidence among refrigerant companies and distributors regarding seasonal demand, leading to price increases for several refrigerant products [5] - The company Jinshi Resources plans to acquire a 15.7147% stake in Noah Fluorochemical for 257 million CNY, becoming the second-largest shareholder [6] Group 3 - Recommended stocks benefiting from the fluorochemical sector include Jinshi Resources, Juhua Co., Sanmei Co., and Haohua Technology, with other beneficiaries being Dongyangguang, Yonghe Co., Dongyue Group, and Xinzhoubang [7]

1. Report Industry Investment Rating - Not provided in the content 2. Core Views - **Caustic Soda**: The supply - demand situation in the caustic soda industry remains severe. Although the operating rate has declined slightly and inventory has decreased marginally this week, the inventory level is still relatively high compared to the same period in recent years. Downstream demand is weak, and there are no obvious short - term positive factors. The price is expected to be bearish next week. The Shandong market performs poorly, and there are expectations of price cuts in alumina procurement in Shanxi and Henan, which is negative for the Shandong market. The supply in Shandong remains high, and further price cuts are possible. In the East China region, the supply of liquid caustic soda plants is expected to increase, while downstream demand shows no substantial improvement. The current strong performance of the futures price lacks real support, and the rebound height is expected to be limited [2]. - **PVC**: This week, PVC prices continued to rise driven by commodities. The operating rate decreased slightly, but the inventory remained at a high level, and demand was persistently weak. During the off - season, the operating rate of hard products was at a low level, while that of soft products was relatively stable. Market transactions were mainly based on spot fixed - price sales. As prices rose, downstream观望 sentiment increased, and high - price exports faced significant resistance. The cost support was weak. Currently in the traditional off - season, outdoor construction in the north is decreasing, and the overall real estate demand reduction has a negative impact. The international market is highly competitive, and exports have limited support. The overall demand side performs poorly, and the current weak fundamentals of PVC spot are difficult to support the continued rise of the PVC market [3]. 3. Summary by Relevant Catalogs 3.1 Caustic Soda - **Price and Market**: The caustic soda futures price has shown various trends due to factors such as macro - environment changes, supply - demand relationships, and cost fluctuations. The spot price has also been affected by factors like alumina procurement prices. The current price is expected to be bearish in the short term [2][8]. - **Supply**: As of Thursday this week, the national weighted average operating load rate of sample enterprises was 88.47%, a decrease of 1.37 percentage points from last week. The inventory in East China decreased slightly, while that in Shandong increased due to high supply and weak demand [27]. - **Device Status**: Some enterprises in different regions are in a state of shutdown, half - load operation, or maintenance. The total maintenance loss this week was 3.15 tons, and there are also planned maintenance arrangements in the future [28]. - **Alumina Demand**: From the end of 24 to 25, there are plans to put into production 1230 tons of alumina capacity (including 200 tons of replacement). It is estimated that the annual production capacity growth rate will be around 10%, and the annual output in 2025 will be over 8800 tons, with a production growth rate of around 6%. The new alumina projects will increase the demand for caustic soda by about 80 tons annually, with a relatively concentrated increase of 15 tons from April to June [32]. - **Export**: In November, caustic soda exports weakened, but the estimated export profit increased slightly [58]. 3.2 Polyvinyl Chloride (PVC) - **Price and Market**: PVC spot prices continued to rise this week driven by the sentiment of commodities. However, the fundamentals of the spot market are weak, and it is difficult to support continued price increases [3][66]. - **Profit**: This week, as prices rose, the industry profit was slightly repaired [71]. - **Supply**: The operating load rate of the domestic PVC powder industry decreased slightly this week. There was a new enterprise under maintenance, and the maintenance loss increased. The overall operating load rate was 75.42%, a decrease of 0.7 percentage points from last week. The operating load rate of calcium - carbide - based PVC powder increased by 0.45 percentage points, while that of ethylene - based PVC powder decreased by 3.33 percentage points [87]. - **Device Status**: There are long - term shutdown, maintenance, and temporary shutdown situations in different enterprises. The theoretical loss due to shutdown and maintenance this week was 5.362 tons, an increase of 0.495 tons from last week. It is expected that the maintenance loss will decrease next week [89][91]. - **Demand**: The two major downstream industries of PVC, profiles and pipes, face great pressure. The real estate industry is still in a bottom - building period, providing negative feedback on demand. The domestic demand has not improved significantly, and downstream orders are significantly lower than the average of the past five years. Raw material and finished - product inventories are at high levels, and it is difficult for the downstream of PVC to have positive driving forces [93]. - **Inventory**: The total inventory is still at the highest level compared to recent years [101]. - **Export**: In November 2025, PVC exports decreased month - on - month but increased year - on - year, while imports increased month - on - month but decreased year - on - year [118].