Space-based solar power: a battleground for major powers! Elon Musk has entered the fray, and nearly 40 Chinese companies have joined the race!

On January 22, at the Davos Forum, Elon Musk announced plans to build 100 GW of space-based photovoltaic capacity.

 

On January 23, 140 photovoltaic concept stocks rose, with 42 hitting their daily upper limit, and net inflows of funds reaching several billion yuan!

 

On January 27, photovoltaic industry leader Qu Xiaohua stated at the Asia Financial Forum that, In the space environment, solar photovoltaic panels serve as the primary power source, with no viable competing technologies currently available. 。
 

 

On the capital markets, space‑based photovoltaic concept stocks continue to gain momentum, with major Chinese and U.S. companies flocking into the sector. A great-power rivalry over space-based energy has quietly begun. 。

 

Musk personally enters the fray.

Space-based solar power faces a new “variable”

 

With the unveiling of a three-year plan to build 100 GW of space-based photovoltaic capacity, Elon Musk’s space solar power initiative is becoming increasingly clear.

 

In November 2025, Elon Musk explicitly outlined the core concept of space-based solar power. He stated that if 1 million tons of payload were launched into orbit each year, at a capacity of 100 kilowatts per ton, it would be possible to achieve… The goal of launching 100 GW of solar-powered AI satellites annually. 。

 

On January 22, 2026, at the World Economic Forum in Davos, Elon Musk stated that the Sun provides nearly 100% of the energy for the solar system. One of SpaceX’s priorities in the coming years is to launch solar-powered AI satellites. Solar-powered AI satellites are the core energy backbone supporting space-based computing centers.

 

This series of statements has not only brought space-based solar power out of the realm of theoretical concepts but has also ushered it into the eve of full-scale engineering implementation—ushering in a trillion-dollar blue‑ocean market that is already taking shape.

 

In this regard, Goldman Sachs forecasts that by 2032, The Space AIDC power station will add 100 GW of annual photovoltaic capacity, equivalent to 12% of the world’s total PV demand by 2030. If this demand maintains an annual compound growth rate of 40–50%, the corresponding increase in market size would be substantial.

 

The rise of this blue‑ocean market has offered Chinese photovoltaic companies, mired in intense competition, a glimmer of hope for breaking the deadlock. During an investor briefing, Zheng Hongwei, Vice Chairman of Junda Shares, stated that the low‑Earth‑orbit satellite sector alone could generate trillions in economic value.

 

In addition, in the space environment, the utilization rate of solar energy is 7 to 10 times higher than on Earth, and it does not require the use of terrestrial land resources. It has effectively addressed the challenges of intermittency, grid integration, and land use associated with ground-mounted photovoltaic systems. 。

 

However, the pressing challenge lies in the present: the blue‑ocean market that Musk is pioneering is far removed from the realities faced by Chinese photovoltaic companies.

 

With the enactment of the U.S. “Inflation Reduction Act,” Chinese companies are prohibited from holding more than 25% of equity in U.S.‑based renewable‑energy projects; otherwise, they will be ineligible for federal subsidies. This regulation has triggered a ripple effect: leading Chinese solar firms such as LONGi Green Energy have been compelled to divest their under‑construction or already operational capacity in the United States.

 

Boway Alloy recently stated in its earnings forecast that, owing to its 100% ownership of its U.S. new-energy subsidiary, costs associated with certain existing contract orders increased in 2026, resulting in losses and necessitating the urgent pursuit of an equity sale.

 

Musk sees this perfectly clearly. He stated, “It’s regrettable,” In the United States, tariff barriers on solar panels are extremely high, artificially driving up the economic cost of solar deployment, as nearly all solar panels are manufactured in China. 。

 

Musk is well aware of China’s global technological and production advantages in the photovoltaic sector. Accordingly, following his announcement at the Davos Forum of a 200 GW photovoltaic capacity plan—100 GW from space-based solar power and 100 GW from ground‑based solar installations—he promptly dispatched a team to China for on‑site assessments.

 

Its core objective is to focus on the entire silicon wafer–cell–module value chain, with a particular emphasis on China’s cutting-edge technological pathways, such as heterojunction (HJT) and perovskite–crystalline silicon tandem solar cells.

 

After all, China’s accumulated expertise in core space‑based photovoltaic technologies is precisely what he urgently needs to rapidly establish domestic production capacity and shorten the technology‑iteration cycle.

 

Here’s an industry update:

 

On April 8, the “2026 Shagohuang Large-Scale Clean Energy Base (Inner Mongolia) High-Quality Development Conference” will grandly open in Hohhot!

 

This conference will provide an in-depth analysis of national policies and trends related to large-scale sand‑desert‑barren‑land bases, showcase cutting-edge technological achievements in the integrated development of “photovoltaic sand control + green hydrogen/ammonia/alcohol + grid‑forming energy storage + green power transmission,” and help steer the industry toward high‑quality growth.

 

 

Full-industry-chain advantages

Space-based solar power cannot bypass China.

 

In the photovoltaic sector, China’s photovoltaic industry undoubtedly enjoys comprehensive industrial-chain advantages in technology, equipment, materials, and more. Although the space sector is a new and emerging industry, China also enjoys a leading edge in technology, equipment, and materials.

 

From a technical standpoint, the three main research directions in space-based photovoltaics are: China’s photovoltaic industry has achieved all-round leadership in gallium arsenide, heterojunction (HJT), and perovskite technologies.

 

In the field of gallium arsenide technology, Qianzhao Optoelectronics and Sanan Optoelectronics have already deployed their GaAs‑based solar cells in commercial satellite power systems and other applications. Meanwhile, Mingyang Smart Energy’s acquisition of Dehua Chip holds a market share as high as 35% in the epitaxial wafer and chip segments, with its triple‑junction GaAs solar cells achieving a conversion efficiency of 33.5%, placing it at the forefront of the industry.

 

The high-efficiency gallium arsenide technology jointly developed by LONGi Green Energy and Fudan University has been deployed in China’s StarNet internet satellites.

 

In the field of heterojunction (HJT) technology, Oriental Rise has independently developed a 50-μm ultra-thin p-type HJT cell, with a silicon wafer thickness that is only one-third that of conventional ground‑based cells. Gaoce Shares has introduced 50-μm ultra-thin wafers, continuously setting new industry records for wafer thinning.

 

In the field of perovskite tandem solar‑cell technology, leading companies such as LONGi Green Energy and Trina Solar are actively deploying resources; meanwhile, perovskite firms like Photovoltaic Technology and Jidian Photovoltaic have experienced rapid growth in recent years.

 

In addition to core battery technology, China’s photovoltaic industry has established a comprehensive industrial-chain presence across equipment, materials, and other segments, further solidifying its capability to address critical technological bottlenecks.

 

In the photovoltaic equipment sector, Jingsheng Mechanical & Electrical’s PECVD and ALD systems are ideally suited to meet the production requirements of space‑based photovoltaic cells.

 

Weidao Nano focuses on the perovskite field, covering three major technological pathways, including flexible perovskites, and its related equipment has already been commercialized.

 

Jiawei Weichuang possesses end-to-end equipment and process‑level solutions for perovskite solar cells, has established collaborations with numerous companies both domestically and internationally, and continues to secure and execute orders.

 

Laser processing and efficiency‑enhancing equipment from companies such as Dilas Laser and Hymson have been adapted to support cutting‑edge space photovoltaic technologies like HJT and perovskite, thereby establishing a comprehensive equipment‑support ecosystem.

 

A Goldman Sachs research report forecasts that Elon Musk’s 200 GW cell‑module order will be evenly spread over the next three years, with Chinese equipment manufacturers poised to capture 70% of that market share.

 

In the field of photovoltaic materials, Chinese companies have likewise achieved comprehensive breakthroughs, leaving no weak links.

 

Lushan New Materials has been deeply engaged in space‑grade photovoltaic encapsulant film technology for many years. In addition to developing three distinct encapsulation solutions, the company has filed multiple technical patents and has been supplying leading enterprises on a sustained basis for several years.

 

Haiyou New Materials and Foster are continuously advancing R&D in the fields of space-grade solar array encapsulation materials and PI materials, respectively, precisely addressing the radiation‑resistance and extreme thermal‑control requirements of space‑based photovoltaic systems.

 

Lens Technology has mastered the core manufacturing processes for aerospace-grade UTG flexible glass, meeting the high‑end requirements of space‑based photovoltaics, such as resistance to atomic oxygen erosion and precise thermal control. The company is currently collaborating with relevant customers to jointly develop related applications.

 

Dike Shares’ conductive paste products have been successfully deployed in the solar arrays of commercial aerospace satellites; Juhe Materials’ HJT low-temperature conductive pastes hold a globally leading market share and possess core competitive advantages.

 

Thus, it is clear that neither Elon Musk’s planned 200 GW of photovoltaic capacity nor the space‑based solar projects of other companies worldwide can do without the technological expertise and industrial‑chain support provided by China’s PV sector.

 

This, This is precisely the core source of confidence that enables China’s photovoltaic industry to wield “chokehold” capabilities. 。

 

Nearly 40 companies have entered the market.

Space-based photovoltaics are accelerating across the board.

 

With the explosive popularity of “space-based solar power,” an increasing number of Chinese photovoltaic companies have stepped forward to champion this technology.

 

Photovoltaic Headlines has compiled the responses of various listed companies to the “space-based photovoltaics” issue.

 

Twenty companies have made strategic investments in space-based photovoltaics, focusing on both technology and products.

 

 

Nineteen companies stated that, while they currently have no plans to deploy space-based solar power, they will continue to monitor and explore related fields.

 

 

These enterprises, ranging from industry-leading companies and equipment and materials suppliers to small and medium-sized innovative firms, are advancing in a coordinated manner across the entire industrial chain, demonstrating “ Leading the way, achieving breakthroughs across multiple fronts, and driving industry-wide adoption. The fervent momentum of “.

 

In this race to secure a foothold in the space‑based photovoltaics market, many industry leaders have been actively making strategic moves. Among them, Junda Shares stands out as one of the most aggressive players, rapidly expanding its space‑PV business through equity investments in Shangyi Optoelectronics—backed by technology from the Chinese Academy of Sciences—targeted fundraising to fund R&D on space‑grade photovoltaic cells, and the establishment of Shangrao Junda Aerospace Space Technology Co., Ltd. Meanwhile, Mingyang Smart Energy has acquired Dehua Chip, a domestic leader in satellite power systems, thereby gaining mastery over key space‑PV technologies such as gallium arsenide cells and flexible solar arrays. In addition, Oriental Rise has formed a strategic partnership with Shanghai Gangwan, under which the two companies will engage in in‑depth collaboration on the research, validation, and industrial application of “perovskite + p‑type heterojunction tandem cell” technology in the field of space‑based energy.

 

It is worth noting that, despite the soaring enthusiasm for the sector, the industry as a whole remains pragmatic. Most companies are focusing on long-term R&D and practical engineering implementation, steering clear of short-term hype, as… According to Qu Xiaohua, the current phase is primarily focused on technological exploration, and no moves will be made without a solid basis for success. This rational approach has also laid a solid foundation for the healthy development of space-based photovoltaics.

 

Afterword

 

By entering the space‑based photovoltaics sector and ramping up domestic U.S. production capacity to 200 GW, Elon Musk is essentially advancing a strategic effort to “de‑China‑ize” the high‑end energy value chain. This move pits the United States against China’s comprehensive, end‑to‑end technological edge in the PV industry, setting the stage for a sharp contest of competition and cooperation—centered on the race to secure global leadership in the photovoltaic sector.

 

Faced with this situation, “Moderate technological bottlenecks” represent the bottom line for safeguarding China’s photovoltaic industry’s security. Maintaining absolute control over core technologies and equipment—such as those related to gallium arsenide and perovskites—is a necessary strategy for countering U.S. trade barriers and preventing technological overtaking. Meanwhile, in non‑core equipment and materials sectors, conditional openness to cooperation can help forge deep ties with the U.S. supply chain, enabling both short‑term technological premium gains and sustained long‑term influence.

 

“Being ‘choked’ is by no means the goal; rather, it is a means to vie for the power to shape the rules.” At present, space-based photovoltaics is in a formative phase for both technological standards and industry norms. China’s PV sector must leverage its core‑technology advantages to translate its technological leadership into rule‑making authority, thereby achieving a leap from “ground‑based leadership” to “space‑based leadership.” This, indeed, constitutes the fundamental rationale for consolidating China’s dominant position in the global PV industry.

 

Ultimately, the industry must return to rationality: space‑based photovoltaics is not a short‑term hype but a strategic frontier that demands sustained, long‑term investment. Only by abandoning speculative mindsets and focusing on in‑depth R&D of core technologies and their engineering implementation can space‑based PV truly become a new engine for China’s photovoltaic sector—enabling it to navigate market cycles and ascend to the high end.

 

Source: PV Headlines