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China: AI development in China drives demand of energy equipment, prompting innovation

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The rapidly expanding AI data centers and computing-power infrastructure in China are also creating unprecedented opportunities for the country's traditional power sector, driving a sharp rise in demand for power equipment and prompting innovation. A power-equipment company in southwest China's Chongqing municipality has been running at full speed to produce transformers for computing-power infrastructure projects, including data centers run by China's three major telecom operators and computing hubs at universities. The boom in AI applications, according to the company, has brought a noticeable shift in market demand. The spike in demand driven by AI is also accelerating innovation on the manufacturing side, pushing companies to seek new solutions for larger production and better quality, like automated testing systems to shorten production cycles, and new power-distribution technologies that reduce energy consumption and improve electricity-supply efficiency. Upstream raw material manufacturers are also making breakthroughs. In Chongqing, a power-equipment company is developing ultra-thin oriented silicon steel, one of the key raw materials for transformers, aiming to reduce energy loss. Shotlist: Chongqing Municipality, southwest China - Recent: 1. Aerial shots of power equipment factories; 2. Various of machines running; 3. SOUNDBITE (Chinese) Zou Hong, deputy general manager, energy equipment manufacturer (ending with shot 4): "From January to October, both our orders and deliveries increased, with year-on-year growth of roughly 30 to 40 million yuan (about 4.22 to 5.63 million yuan)."; 4. Various of machines running; Baoding City, Hebei Province, north China - Recent 5. SOUNDBITE (Chinese) Qian Jinwen, Vice President, energy equipment manufacturer (starting with shot 4): "Orders related to AI and data center projects sustained a compound annual growth rate of over 50 percent in the past two to three years."; 6. Various of robot arms, machines running; 7. Various of energy supply devices, Wang Jianwei, Deputy Manager, system testing department, energy equipment manufacturer, testing devices; 8. SOUNDBITE (Chinese) Wang Jianwei, Deputy Manager, system testing department, energy equipment manufacturer (starting with shot 7/ending with shot 9): "Each device requires separate wiring for input and output, and that has long been a bottleneck undermining testing efficiency. After extensive research, we introduced an automatic switching function to solve this issue."; 9. Various of Wang testing energy supply devices; 10. SOUNDBITE (Chinese) Qian Jinwen, Vice President, energy equipment manufacturer (ending with shot 11): "Looking at the prospects of future DC distribution networks, we have already explored many application scenarios, from photovoltaic and energy-storage power stations to EV charging piles. And we have also supplied this type of power to data centers."; 11. Various of advertising posters, pamphlets, equipment being exhibited; Chongqing Municipality, southwest China - Recent 12. Various of engineer doing research; 13. SOUNDBITE (Chinese) Fan Gangqiang, Deputy Chief Engineer, new materials division, energy equipment manufacturer (partially overlaid with shot 14): "We recently developed thinner products of 0.2 millimeters or below. They offer higher magnetic induction and significantly lower iron loss. When used in transformers, energy loss can be reduced by roughly 20 percent. For a transformer weighing about 200 tons, that translates into annual electricity savings of roughly 400,000 to 500,000 kilowatt hours." [SHOT OVERLAYING SOUNDBITE]; 14. Various of machines, workers producing oriented silicon steel [SHOT OVERLAYING SOUNDBITE]; 15. Aerial shots of power equipment factories. [Restrictions: No access Chinese mainland]

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