Huafu Securities: The trend of reducing costs in the industry is emerging. Siasun Robot & Automation, a humanoid robot company, and the commercial aerospace industry are expected to accelerate the adoption of 3D printing technology.

Huafu Securities released a research report, according to Antartica Bear, the price of titanium alloy powder for 3D printing is expected to drop from 600 yuan/kg in 2023 to below 300 yuan/kg in 2024, a decrease of 50%. In terms of powder yield, the core product of Willary achieved a historical high powder yield in 2022, with an average increase of over 3%. In terms of inert gas, taking gas atomization powder production as an example, gas costs account for 30%-50% of the powder material costs. On one hand, powder manufacturers are using intelligent integrated argon gas recovery equipment to reduce industrial gas usage, and on the other hand, industrial gas prices are expected to decline in 2024. In terms of applications, 3D printing meets the design requirements for commercial aerospace/humanoid Siasun Robot & Automation. For example, for humanoid Siasun Robot & Automation, Hualichuang Science has developed a "from head to foot" six-dimensional force sensing solution. For commercial aviation, the liquid oxygen kerosene engine components use Farsoon Technologies' metal 3D printing solution, completing the delivery of over 30 parts in 4 months. Key points from Huafu Securities include: Cost reduction trend in the industry chain: Titanium alloy powder prices are decreasing and domestication of core components is accelerating. 1) Powder: The price of titanium alloy powder for 3D printing is expected to decrease from 600 yuan/kg in 2023 to below 300 yuan/kg in 2024, a decrease of 50%. The main reasons include powder yield improvement and the downward trend in sponge titanium market in 2024. 2) Core components: Wuhan Raycus Fiber Laser Technologies signed a contract with a central enterprise for the sale of 120 3D printing laser devices, designed for the production of precision core components. 3D printing meets the design requirements for commercial aerospace/humanoid Siasun Robot & Automation, with breakthroughs in both metal and non-metal materials. Investment recommendations include focusing on Xi'an Bright Laser Technologies (688333.SH), Farsoon Technologies (688433.SH), Dongguan Golden Sun Abrasives (300606.SH), and Han's Laser Technology Industry Group (002008.SZ). Risks include unexpected cost reductions, technological iteration risks, and lower-than-expected demand.