Sector surges across the board! Tesla plans to purchase 20 billion yuan worth of Chinese photovoltaic equipment, with contract scale in the gigawatt range.

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News that Tesla is seeking to purchase $2.9 billion worth of Chinese photovoltaic equipment has ignited the market, with A-share and Hong Kong photovoltaic sectors rising sharply today.

Specifically, A-share space photovoltaic concepts continue to climb. Junda Co. hit the daily limit, Jiejia Weichuang reached a 20cm limit, and Maiwei Co., Laplace, Liancheng CNC, Jinko Energy, and Autowell all soared more than 10%. Meanwhile, photovoltaic equipment concept stocks saw a full-scale breakout. Shengneng Electric hit a 20cm daily limit, Shouhang New Energy surged more than 19%, Jiuzhou Group and Airo Energy rose over 15%, and Ginlong Technologies, Hoymiles Technologies jumped over 14%.

In the Hong Kong market, the photovoltaic solar sector also strengthened in sync. Junda Co. once surged more than 10%, Xinyi Solar rose over 4%, and Flat Glass climbed about 4%.

According to media reports earlier today, Tesla is seeking to procure photovoltaic manufacturing equipment worth about $2.9 billion (about RMB 20 billion) from Chinese suppliers. This move is aimed at supporting CEO Musk's goal of adding 100 GW of photovoltaic manufacturing capacity in the U.S.

It is reported that Suzhou Maiwei Co. is one of the main candidate suppliers for this photovoltaic project equipment, and other Chinese companies in talks with Tesla about the photovoltaic project include Jiejia Weichuang and Laplace.

Later, domestic photovoltaic companies confirmed the procurement rumors to Shell Finance, revealing that the contract scale reached gigawatt level.

Delivery before this fall?

Tesla's ambition for domestic manufacturing in the U.S. is accelerating. According to media citing people familiar with the matter, Chinese suppliers have been required to deliver this batch of photovoltaic panel and battery manufacturing equipment before this fall. Two sources said the equipment will mainly be shipped to Texas.

Domestic news says that previously, Space X, Musk’s team, purchased equipment from a leading domestic heterojunction equipment manufacturer, with the order expected to be shipped in the first week of May. Semi-conductor-like product exports require filing and approval from relevant departments and are still in progress. Meanwhile, Musk’s photovoltaic orders are split into two main lines: SpaceX (S chain) and Tesla (T chain), corresponding to space and ground application scenarios respectively.

Elon Musk stated in January this year that solar energy could meet all of America’s electricity needs, including the fast-growing demand from data centers. Tesla's official recruitment information also reveals, the company's goal is “to deploy 100 GW of photovoltaic manufacturing capacity using domestic raw materials in the U.S. by the end of 2028.”

AI power shortage drives Musk to China

Tesla’s shift to buying equipment from China is rooted in the complex interplay between America’s power supply-demand structure and trade policy. According to the U.S. Energy Information Administration (EIA), America’s electricity consumption hit a record high for the second consecutive year in 2025 and will continue climbing in the next two years.

Facing severe power shortages driven by AI data centers and manufacturing, Musk has criticized tariff barriers. He pointed out that tariffs artificially inflate the economic cost of deploying solar in the U.S.

Reportedly, at the request of U.S. photovoltaic panel manufacturers, the Biden administration in 2024 excluded manufacturing equipment from tariffs, a waiver later extended by the Trump administration. This has removed some cost barriers for Tesla to buy Chinese equipment in large quantities.

This potential order highlights the practical challenges America faces in revitalizing its domestic manufacturing. Data shows that as of 2024, out of America’s total power generation capacity of 1,300 GW, photovoltaic accounts for only 10%. Building 100 GW of photovoltaic manufacturing capacity in a few years is a daunting task.

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