Core Insights - The Chinese liquid cooling connector industry is at a critical stage of technological iteration and market explosion, driven by national policies such as the "dual carbon" goals and the "East Data West Computing" project, which mandate the application of liquid cooling technology in data centers [2][7] - The market size of the liquid cooling connector industry in China is projected to reach 5.011 billion yuan in 2024, representing a year-on-year growth of 38.62% [2] Industry Definition and Classification - Liquid cooling connectors are devices that utilize circulating coolant to dissipate heat, primarily used in liquid cooling systems to ensure efficient and safe transmission of cooling media [5] - They are categorized into two main types based on the plug-in method: UQD and UQDB [5] Industry Policies - Recent policies in China have created opportunities for the liquid cooling connector industry, with documents like the "Green Data Center Government Procurement Demand Standard" and "Action Plan for High-Quality Development of Computing Power Infrastructure" emphasizing the adoption of efficient cooling technologies [7][8] - The goal is to reduce the average Power Usage Effectiveness (PUE) of data centers to below 1.2 by 2025, further stimulating demand for liquid cooling connectors [7] Development History - The industry has evolved through four main stages: 1. **Emergence (2000-2010)**: Initial development focused on military and aerospace applications, with domestic companies beginning to master core technologies [9] 2. **Commercial Exploration (2011-2015)**: Expansion into civilian applications, particularly in data centers and electric vehicles, supported by government encouragement for green data centers [9] 3. **Explosive Growth (2016-2020)**: Driven by surging AI computing power demand and breakthroughs in fast-charging technology for electric vehicles, leading to significant market growth [10] 4. **Global Competition (2021-Present)**: The industry is entering a phase of standardization and internationalization, with policies mandating increased penetration of liquid cooling in data centers [10] Industry Barriers - **Technical Barriers**: The industry requires high precision manufacturing and material science integration, with strict performance criteria such as high gas tightness and corrosion resistance [12] - **Certification Barriers**: Compliance with national and international standards is mandatory, which can extend product launch cycles and increase R&D costs [13] - **Professional Talent Barriers**: The industry demands a high level of expertise across multiple disciplines, making it challenging for new entrants to accumulate the necessary knowledge and experience [14] Industry Chain - The upstream of the liquid cooling connector industry includes raw materials and component suppliers, while the midstream involves manufacturing processes, and the downstream applications span data centers, energy storage, aerospace, and electric vehicles [15]

Investment Rating - The report does not explicitly state an investment rating for the liquid cooling connector industry. Core Insights - The Chinese liquid cooling connector market is projected to grow significantly from 25.2 billion RMB in 2022 to 185.04 billion RMB by 2029, reflecting a compound annual growth rate (CAGR) of approximately 25.5% [9][10]. - The revenue from China Aviation Optical-Electrical Technology Co., Ltd. (中航光电) in liquid cooling connectors is expected to increase from 3.53 billion RMB in 2022 to 37.01 billion RMB by 2029, indicating a strong growth trajectory [10][21]. - The market share of China Aviation Optical-Electrical in the liquid cooling connector segment is anticipated to rise from 14% in 2022 to 20% by 2029 [10][26]. Summary by Sections 1. Market Size Overview - The Chinese liquid cooling connector market is estimated to reach 36.15 billion RMB in 2023 and 50.11 billion RMB in 2024, continuing to grow each year [9][10]. 2. Revenue from China Aviation Optical-Electrical - The revenue from liquid cooling solutions and other products for China Aviation Optical-Electrical is projected to grow from 11.76 billion RMB in 2022 to 60.67 billion RMB by 2029 [12][23]. 3. Revenue Share of Liquid Cooling Connectors - The revenue share of liquid cooling connectors within China Aviation Optical-Electrical's total revenue is expected to increase from 30% in 2022 to 61% by 2029 [17][24]. 4. Market Share of China Aviation Optical-Electrical - The market share of China Aviation Optical-Electrical in the liquid cooling connector market is projected to grow from 14% in 2022 to 20% by 2029 [26].

Investment Rating - The report does not explicitly state an investment rating for the liquid cooling connector industry. Core Insights - The Chinese liquid cooling connector market is projected to grow significantly from 25.2 billion RMB in 2022 to 185.04 billion RMB by 2029, indicating a robust compound annual growth rate (CAGR) [9][10]. - The revenue from China Aviation Optical-Electrical Technology Co., Ltd. (中航光电) in liquid cooling connectors is expected to increase from 3.53 billion RMB in 2022 to 37.01 billion RMB by 2029, reflecting a strong growth trajectory [10][21]. - The market share of China Aviation Optical-Electrical in the liquid cooling connector segment is anticipated to rise from 14% in 2022 to 20% by 2029 [10][26]. Summary by Sections 1. Market Size - The Chinese liquid cooling connector market size is projected to grow from 25.2 billion RMB in 2022 to 185.04 billion RMB by 2029, with annual estimates showing a steady increase each year [9]. 2. Revenue from China Aviation Optical-Electrical - Revenue from liquid cooling solutions and other products for China Aviation Optical-Electrical is expected to grow from 11.76 billion RMB in 2022 to 60.67 billion RMB by 2029 [12][23]. 3. Revenue Contribution of Liquid Cooling Connectors - The revenue contribution of liquid cooling connectors to China Aviation Optical-Electrical's total revenue is projected to increase from 30% in 2022 to 61% by 2029 [17][24]. 4. Market Share of China Aviation Optical-Electrical - The market share of China Aviation Optical-Electrical in the liquid cooling connector market is expected to grow from 14% in 2022 to 20% by 2029 [26].