Elon Musk’s SpaceX has been sounding out multiple Chinese solar suppliers in recent weeks, industry insiders and companies confirmed, as the world’s richest man advances his vision for space-based data centres powered by constant solar energy – drawing fresh attention to China’s solar supply chain.

The discussions, which have not yet resulted in confirmed orders, triggered a rally in shares of several solar-related companies earlier this week, before sentiment cooled on Thursday.

Analysts and industry insiders said the talks underscored the competitiveness of China’s solar sector and ignited public interest in space-based photovoltaics, though they cautioned that multiple technological routes remained under exploration and warned against excessive capital market hype.

Companies that have publicly acknowledged contact include TCL’s subsidiary Zhonghuan, a maker of photovoltaic materials and solar cells; GCL Technology, a green-energy group with research in granular silicon and perovskite technologies; and Jinko Solar, a major photovoltaic module manufacturer. Solar heavyweight Longi Green Energy Technology and solar-equipment maker Maxwell Technologies have also been widely cited in market discussions.

Jinko Solar said on Thursday that “space-based [photovoltaic technology] remains at a very early stage of technical exploration, with no clear solution, commercial projects or revenue”, warning investors of risks. Its Shanghai-listed shares fell more than 6 per cent on Thursday, snapping a two-day surge.

China’s new photovoltaic installations are forecast to reach up to 240 gigawatts in 2026. Photo: Getty Images

China’s new photovoltaic installations are forecast to reach up to 240 gigawatts in 2026. Photo: Getty Images

Musk had repeatedly argued that space-based computing was the only viable way to scale artificial intelligence, saying that terrestrial infrastructure would struggle to support the vast power and cooling requirements of AI data centres.