Recently, superhard material stocks such as Huanghe Xuanfeng, Power Diamond, Huifeng Diamond, and Sifangda have experienced significant price movements. From October 9 to October 15, the price fluctuations over the five trading days reached 36.33%, 45.19%, 41.54%, and 35.28% respectively. On October 15, Huanghe Xuanfeng's stock price surged to the daily limit in early trading, while Power Diamond and Huifeng Diamond saw their stock prices rise over 10% at one point. Song Xiangqing, Vice President of the Chinese Society of Commercial Economics, stated in an interview that the recent price fluctuations are not merely short-term speculation; rather, they are driven by an upgraded export policy leading to a reassessment of the industry's value. This, coupled with breakthroughs in functional applications of diamonds and expectations for industry consolidation, has created a resonance effect. As "industrial teeth" in high-end manufacturing, the strategic value of superhard materials will increasingly become apparent with industrial upgrades.

The industry has great prospects. Available information indicates that superhard materials, including synthetic diamonds and cubic boron nitride and their composites, are regarded as "industrial teeth" and "ultimate semiconductor materials." They are widely used in China's high-end manufacturing and cutting-edge technologies, playing a crucial role in supporting national technological advancement and industrial security. Regarding the current development of the superhard materials industry, Song pointed out that the demand explosion driven by three strategic areas—domestic replacement of semiconductors, the new energy revolution, and high-end manufacturing upgrades—is propelling the superhard materials sector into a golden cycle. Additionally, technological breakthroughs driven by advancements in synthesis techniques and innovations in composite materials are facilitating the transition of superhard materials from "tool applications" to "functional materials."

Yu Fenghui, a senior researcher at Pangu Think Tank (Beijing), noted that as technology progresses and industrial demand grows, the application scope of superhard materials will further expand. For instance, in precision machining, electronic device manufacturing, and new construction materials, superhard materials are favored for their excellent wear resistance, hardness, and thermal conductivity. Additionally, rising environmental standards are prompting enterprises to seek more efficient and greener production processes, presenting new development opportunities for superhard materials. In the long term, the superhard materials industry is expected to maintain stable growth as a result of technological innovation and the expansion of application fields. According to Forward Research Institute, the global superhard materials market size is expected to reach approximately 75 billion yuan by 2025, with continued expansion projected, and an annual compound growth rate of roughly 5.9%. By 2025, China's superhard materials market is anticipated to grow to 17.2 billion yuan, accounting for about 22.8% of the global market, with a continued increase in the share of high-value-added niche products.

Industry insiders believe that superhard materials manufacturers need to enhance research and development investments in new technologies, new materials, and new processes to seize opportunities for improvement and high-end transformation. Meanwhile, they should strengthen efforts to tap into the domestic market to cope with the current volatile market environment.

Companies along the industry chain are actively positioning themselves as China's superhard materials sector transitions from scale expansion to quality enhancement, continually making key technological breakthroughs and exploring emerging applications. As an "ultimate material," large single crystal diamonds possess outstanding characteristics in sound, light, electricity, magnetism, and heat, earning the title of "king of materials." High-quality large-size ultra-pure CVD (chemical vapor deposition) diamonds can be utilized in high-end advanced manufacturing and consumer sectors, including jewelry, precision tools, optical windows, chip heat sinks, and semiconductors/power devices. China National Machinery Industry Corporation has successfully conquered the key technology for synthesizing diamonds via the MPCVD method (microwave plasma chemical vapor deposition). Their products, such as heat sinks and optical windows, have been applied in the defense and military sectors, marking a breakthrough from R&D to commercial application. Earlier this year, the company announced an investment of 380 million yuan to expand the capacity for producing large single crystal diamonds in Xinjiang.

Henan Power Diamond Co., Ltd. has launched its semiconductor heat dissipation materials project, with Phase I already in operation since early this year. Power Diamond has achieved a breakthrough in the growth technology of large particle diamonds, successfully cultivating a diamond crystal weighing 156.47 carats, breaking the world record. In the future, the company will focus on advanced manufacturing fields and future industrial demands, such as third-generation semiconductors, 5G/6G communications, photovoltaics, new energy vehicles, and high-end precision manufacturing. Henan Sifangda Superhard Materials Co., Ltd. stated during a recent investor relations event that it will continue to increase research and development investments in functional diamonds and accelerate technological breakthroughs in areas such as optical windows, chip heat sinks, semiconductors, and power devices.

Song Xiangqing emphasized that the superhard materials industry stands at a historical turning point, shifting from "tool materials" to "strategic materials." The industry's development is not only crucial for industrial upgrades but also involves national security-related sectors, including semiconductors and new energy. Despite facing technical barriers and international competition, China is expected to reshape the global superhard materials industry landscape within the next decade by leveraging its vast application market, policy advantages, and consistent R&D investment, positioning itself as a global center for high-end superhard materials research and manufacturing.