China’s Shuangliang Hits Limit Up on Bagging New SpaceX Equipment Order

(Yicai) Feb. 12 -- Shares in Shuangliang Eco-Energy Systems soared by the exchange-imposed limit today after the Chinese clean energy equipment manufacturer said it has secured another equipment order from US space exploration company SpaceX.

Shuangliang’s share price [SHA:600481] closed up 10 percent at CNY10.71 (USD1.55) apiece today. The stock has gained 64 percent in value so far this year.

Shuangliang has recently won three overseas orders for a total of 12 high-efficiency heat exchangers which will be used in fuel production systems supporting the expansion of SpaceX’s Starship launch base, the Wuxi, eastern Jiangsu province-based firm said today. Heat exchangers are devices that improve energy efficiency by transferring heat between materials at different temperatures.

This is the second time that Shuangliang’s products have been deployed at SpaceX’s Starship launch site following an earlier cooperation, which fully demonstrates overseas customers’ strong confidence in its equipment, Shuangliang said. But the company, which mainly produces energy- and water-saving equipment as well as photovoltaic products, did not disclose details of the previous cooperation.

Starbase-based SpaceX is stepping up efforts to expand its Starship launch capacity and plans to build three new launch pads at Cape Canaveral in Florida. As launch frequency rises, related equipment suppliers are set to see exponential growth opportunities, Shuangliang said.

Earlier this month, market rumors were circulating that a team of SpaceX founder Elon Musk's staff had secretly visited China to inspect several PV companies as part of plans to promote his “space-based solar power” initiative. The reports sent shares of several related firms, including Shuangliang, sharply higher.

“Space-based solar power” is still in the early stages of technological exploration and ground testing, and there remain significant uncertainties around commercialization pathways, cost structures and in-orbit operations and maintenance, Shuangliang said on Feb. 4. As a result, a scalable industrial ecosystem has not yet been formed and the project is not expected to make any meaningful contribution to the company’s current performance.

Founded in 1982, Shuangliang has posted losses for two straight years due to tumbling prices in China’s solar industry. Last month, the company forecast losses of between CNY780 million (USD113 million) and CNY1.1 billion (USD159.4 million) last year, much less than the CNY2.1 billion loss recorded in 2024.

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Editor: Kim Taylor