1、Asia Pacific Equity Research20 August 2025J P M O R G A NThis material is neither intended to be distributed to Mainland China investors nor to provide securities investment consultancy services within the territory of Mainland China.This material or any portion hereof may not be reprinted,sold or r

2、edistributed without the written consent of J.P.Morgan.Utilities and EnvironmentalStephen Tsui,CFA AC(852)2800-J.P.Morgan Securities(Asia Pacific)Limited/J.P.Morgan Broking(Hong Kong)LimitedMark Strouse,CFA AC(1-212)622-J.P.Morgan Securities LLCJunya Ayada AC(81-3)6736 JPMorgan Securities Japan Co.,

3、Ltd.Sumedh Samant,CFA(66-2)684 JPMorgan Securities(Thailand)LimitedSonny Lee(82-2)758 J.P.Morgan Securities(Far East)Limited,Seoul BranchVento Suen(852)2800-J.P.Morgan Securities(Asia Pacific)Limited/J.P.Morgan Broking(Hong Kong)LimitedAlan Hon(852)2800-J.P.Morgan Securities(Asia Pacific)Limited/J.P

4、.Morgan Broking(Hong Kong)LimitedRising global transmission capex has led to strong demand for high voltage equipment.This,coupled with limited capacity expansion,has resulted in meaningful price hikes,increase in margin and earnings revisions for relevant equipment makers,and hence strong share per

5、formance(Figure 5G l o b a l p o w e r e q u i p m e n t s t o c k s h a v e s e e n s t r o n g p e r f o r m a n c e s i n c e A p r i l 2 0 2 4).Apart from transformers and switchgears,we believe the tight supply of HVDC equipment is another key bottleneck in the ongoing energy transition.HVDC sy

6、stems allow the efficient transmission of large amounts of power across long distances,which is essential to renewable development and cross-border electricity interconnection.While demand is surging globally,the Western market is dominated by three players(Hitachi,GE Vernova,Siemens Energy)and supp