HK Stock Market Move | CIG Shanghai (06166) rose more than 8% in the afternoon, as the company accelerates its overseas production capacity expansion and research and development layout.

Cig Shanghai (06166) rose more than 8% in the afternoon, up 7.33% to HK$87.1 at the time of publication, with a turnover of HK$255 million. On the news front, Cig Shanghai previously announced that it plans to raise US$100 million in H shares to increase the capital of its wholly-owned overseas subsidiary CIG America. The funds will be used for capacity expansion, research and development upgrades, market expansion, and supply chain security. After the capital injection, CIG America will accelerate its capacity expansion plans in Malaysia, Mexico, and the United States, strengthening the global delivery capabilities of core products such as high-speed optical modules. Huatai stated in its latest research report that unlike OpenAI, which heavily relies on external computing power and cloud infrastructure, Google is building a fully self-sufficient ecological loop from chips to models to applications. Optimistic about Google's self-sufficient "stacked" AI ecosystem and capabilities, it is the right time to regain leadership. Open Source Securities stated that as Google's self-developed chips increase in volume, it may drive demand for liquid cooling and optical modules.