Industry Overview - The compressed air energy storage (CAES) industry chain consists of upstream equipment manufacturing, midstream engineering and system construction, and downstream system operation [1][2] - Upstream includes production of air compressors, expanders, turbines, and generators, while midstream focuses on energy storage systems and technical solutions [1][2] Key Companies - Major upstream companies include Shanghai Electric, Dongfang Electric, and Harbin Electric Group for air turbine and heat exchanger production; Shangu Group and Shengu Group for compressors [2] - Midstream construction firms like China Storage National Energy and the Institute of Engineering Thermophysics of the Chinese Academy of Sciences are recognized for their extensive experience and international project scale [2] Regional Distribution - As of May 2025, there are 448 companies and research institutions in China related to CAES, with the highest concentration in Beijing (75), followed by Jiangsu (53) and Zhejiang (30) [5] - The industry is primarily located in economically developed eastern coastal regions and energy-rich provinces, facilitating technology exchange and resource integration [8] Market Applications - CAES has seen commercial applications, notably the world's first non-combustion CAES power station in Jiangsu, operational since May 2022, which compresses air in salt caverns during low demand and releases it for power generation during peak demand [2]