China Fusion Corporation is established, and the "artificial sun" is coming.
On July 22, China Fusion Energy Co., Ltd. was officially established in Shanghai. Seven state - owned enterprises, including China National Nuclear Corporation, injected 11.492 billion yuan, and Gong Zheng, the Mayor of Shanghai, personally unveiled the plaque. The establishment of this "national team" features a luxurious lineup and extremely high - level specifications. Foreign media interpreted this as a crucial step in China's commercialization process of the "artificial sun".
▲Source: WeChat official account of China Fusion Energy Co., Ltd.
Nearly two months ago, on May 23, Donald Trump, who has always been regarded as a "defender of traditional energy", suddenly went against the norm. He successively signed four executive orders, elevating nuclear energy development to the national strategic level and declaring, "Regain global leadership."
In recent years, countries such as Germany, Japan, and the UK have also been very active: Germany announced the "Fusion Energy 2040" special plan and is expected to provide over 1 billion euros for scientific research by 2028; Japan revised the "Fusion Energy Innovation Strategy" and aims to achieve commercial power generation from fusion energy by 2030; The UK government invested 410 million pounds to accelerate fusion research and development.
All signs indicate that the global competition in the controllable nuclear fusion industry has entered an accelerated phase, and China is clearly leading the way.
01 The Ultimate Energy
"The energy released by the fusion of deuterium in one cubic kilometer of seawater is equivalent to the total energy of all the oil on Earth," said Academician Zhang Jie of the Chinese Academy of Sciences. "Fusion energy may become the ultimate energy source for humanity."
Nuclear fusion refers to the "violent fusion" of light atomic nuclei into new nuclei under extremely high temperature and pressure, releasing a huge amount of energy in the process. The sun has been shining and heating for 4.6 billion years thanks to this process. That's why the industry likes to use the term "artificial sun" to vividly describe fusion energy technology.
The hydrogen bombs in military weapons also explode with astonishing power due to nuclear fusion, but it is an uncontrollable instantaneous release.
Controllable nuclear fusion technology aims to convert this huge energy into continuous and stable electrical energy in a controlled and safe manner for human use.
Under the action of the "artificial sun", the electrical energy generated by 5 grams of fuel is enough for a family of three to use for 133 years.
The fuel required for fusion energy, such as "deuterium" in seawater, has extremely large reserves and hardly produces radioactive hazards.
According to a rough estimate by Dr. Mark Henderson, a physicist, at the current global energy consumption level, fusion energy is sufficient for human use for 150 billion years.
Imagine how the world will be reshaped when fusion energy becomes popular. Electricity with almost zero cost and inexhaustible supply will bring about significant changes.
In the industrial field, nearly free energy combined with automated production lines will significantly reduce manufacturing costs. From daily necessities to precision instruments, humans can own various commodities at extremely low prices.
In the agricultural field, by simulating the natural environment through artificial lighting and temperature control, humans can develop indoor "vertical agriculture" in high - rise buildings, breaking the limitations of cultivated land area and climate conditions and ending food shortages.
Even the millennium - old problem of insufficient fresh water resources can be solved. The existing seawater desalination technology is already very mature, and the only constraint is the electricity cost. The popularization of fusion energy will make seawater desalination a common practice, and turning deserts into oases will no longer be a dream.
The most cutting - edge artificial intelligence technology will also be a major beneficiary. Take ChatGPT as an example. The electricity consumption for training its large model for three days is equivalent to the total energy consumption of 3,000 Tesla cars traveling 320,000 kilometers. This exponentially growing electricity demand has restricted the development of AI. Therefore, Sam Altman, the founder of OpenAI, is extremely concerned about fusion energy. His largest personal investment to date (375 million US dollars) was made in a nuclear fusion enterprise.
Of course, there is also a subversive and profound impact that can change the world pattern. That is once fusion energy replaces oil, the "US dollar hegemony" will cease to exist. The global financial order based on the petrodollar will fundamentally collapse. Therefore, countries, including the United States, attach great importance to the research of fusion energy.
In short, whoever is the first to generate the first kilowatt - hour of electricity from nuclear fusion and achieve commercialization will stand at the high - ground of future energy. Just like the "Organization of the Petroleum Exporting Countries", there may be "fusion energy - exporting countries" in the future, controlling the global economic lifeline.
Top minds from various countries have been working hard for more than 70 years to make this day come earlier.
02 The Global Competition
Manosque in southern France is world - famous for its lavender.
Since around 2007, locals have always found some "mysterious visitors" in the town. They hold thick documents in their hands and discuss various incomprehensible terms. Among them are Americans, Japanese, and Chinese. These people are not tourists but top - notch scientists from around the world. They gather here to participate in the world's largest international cooperation project - ITER (International Thermonuclear Experimental Reactor).
As early as the period of the Cold War between the United States and the Soviet Union after the 1950s, the "fusion fever" had emerged. Superpowers such as the United States and the Soviet Union regarded this technology as a strategic bargaining chip but encountered repeated bottlenecks in their independent research and development.
Countries found that it was difficult to achieve efficient technology R & D with the strength of a single country. So at the Geneva Summit in 1985, many countries proposed to jointly build the ITER project to overcome difficulties through cooperation.
▲ITER under construction. Source: ITER official website
Interestingly, in 1998, the United States announced its withdrawal from the ITER project. However, when China joined the ITER negotiations in 2003, then - President George W. Bush quickly proposed to re - join, indicating that the United States already attached great importance to competition with China at that time.
Since its proposal in 1985, ITER has received an investment of over 24 billion euros. What is the result of such a huge investment?
Similar to multinational cooperation projects such as the "International Space Station" and the "Galileo Satellite Navigation System", the progress of ITER is always interrupted by the "self - interests" of various countries. Although the Chinese team can always complete its tasks efficiently, some participating countries keep dragging their feet, resulting in a continuous stream of technical, contractual, and financial problems.
Dr. Chen from the Department of Engineering Physics at Tsinghua University sighed that when he was interested in nuclear fusion technology in junior high school, he heard that ITER would be completed in 2016 and was very looking forward to it. Now that he has become a doctor in the field of nuclear fusion, he hears that it will not be completed until 2033.
Forty years have passed since 1985, and the progress of ITER is still not ideal, which reminds people of the classic joke in the scientific and technological community - "Nuclear fusion is always 50 years away from commercialization."
Joking aside, the actual situation is that while participating in the ITER project, countries have not been idle privately.
The JT - 60SA jointly developed by Japan and Europe claimed to achieve "ignition" (output energy greater than input energy) for the first time in November 2023;
The KSTAR in South Korea achieved a plasma temperature of 100 million degrees Celsius for 48 seconds in 2024 and maintained the high - confinement mode for more than 100 seconds;
The WEST in France maintained the plasma at 50 million degrees Celsius for 1,337 seconds in February 2025...
China and the United States, the main players in this competition, naturally won't be absent.
The United States' nuclear fusion layout mainly relies on private enterprises, with continuous capital injection from venture capital. Behind them are figures such as Bill Gates and George Soros.
The Commonwealth Fusion Systems (CFS), spun off from the Massachusetts Institute of Technology, has raised a total of over 2 billion US dollars so far, making it the most money - burning nuclear fusion enterprise globally;
Helion Energy, which has received a large investment from Sam Altman, the founder of OpenAI, heated the plasma to 100 million degrees Celsius for the first time in 2021;
TAE Technologies, which has a close cooperation with Google, is at the forefront in the relatively more difficult field of "hydrogen - boron fusion".
In addition, the United States also has a national - level nuclear fusion experimental device - the National Ignition Facility (NIF). As one of the world's largest laser - confined nuclear fusion devices, its main value lies not in commercial power generation but in physical research and potential military weapon research.
Even so, the successful "ignition" of the NIF in December 2022 was still regarded as a milestone breakthrough. Although there are disputes about the calculation method of the experiment, the US Congress couldn't wait to mark the nuclear fusion industry in the "China - US industrial competition map" as "the United States leading", indicating its eagerness to win quickly.
In China, since the 1950s, exploration of nuclear fusion technology has been carried out. Now, two major systems have been formed: the "national team" led by state - owned enterprises and research institutions and the "market team" led by private enterprises and venture capital.
The "Experimental Advanced Superconducting Tokamak" (EAST) led by the Chinese Academy of Sciences set a world record in January 2025 by operating the plasma at 100 million degrees Celsius for 1,066 seconds; The "HL - 3" artificial sun led by the China National Nuclear Corporation achieved a breakthrough of both the nuclear and electron temperatures exceeding 100 million degrees Celsius for the first time in March 2025 and achieved a million - ampere, 100 - million - degree H - mode in May, both setting world records.
▲China's "HL - 3". Source: Sichuan Observation News
Among private enterprises, Hanhai Fusion Energy, benchmarking against Helion Energy in the United States, successfully lit up the plasma in July 2025. ENN Group, choosing the more difficult "hydrogen - boron fusion" route similar to TAE Technologies, has invested a total of 4 billion yuan so far. Other enterprises such as Energy Singularity, Star Ring Fusion Energy, and Lianchuang Optoelectronics have also made breakthroughs in some key technologies.
In addition, the large - scale scientific device "Kua Fu" (CRAFT) in Hefei, Anhui will be completed by the end of this year, and the China Fusion Engineering Test Reactor (CFETR), which is more grand in scale than ITER, will be completed and put into use in 2035.
Now, China has surpassed the United States in the number of patent applications for fusion technology and has become the world's number one. The United States is clearly restless about China's catching - up. Trump's abnormal support for nuclear energy is a clear indication.
Frequent technological breakthroughs in China and the United States in 2025 have also pushed the competition into a white - hot stage.
03 China's Early Layout
At this critical juncture, the establishment of China Fusion Energy Co., Ltd. is not simply about setting up a large company but an important layout of the national energy strategy.
Transforming the carrier of China's "artificial sun" from the "laboratory" to a "limited company" means that it not only has to break through technological barriers but also actively participate in the market as soon as possible, exploring business models and industrial operations and learning by doing.
We can find more details from the background of the shareholders of this capital injection. The announcement shows that China National Nuclear Corporation, China National Nuclear Power Co., Ltd., Kunlun Capital of PetroChina, Shanghai Future Fusion, Guolv Fund, Zhejiang Energy Electric Power Co., Ltd., and Sichuan Heavy - Industry Fusion will jointly increase the capital, bringing the company's registered capital to 15 billion yuan.
This mixed model of "central enterprises + industrial capital + regional leaders" covers the entire industrial chain, including technology R & D, engineering construction, financial investment, and industrial application, forming in - depth cooperation among "industry, academia, research, application, and finance" and providing all - around support for the future commercialization of fusion energy.
In addition, the "Shanghai element" and the "Sichuan element" behind China Fusion Energy Co., Ltd. are particularly prominent.
China Fusion Energy Co., Ltd. is located in Minhang District, Shanghai, and both the Guolv Fund and Shanghai Future Fusion among the shareholders have a Shanghai background.
Why is the nuclear fusion industry located in Shanghai? Because this international metropolis is not only a financial and trade center but also has an important identity - a high - ground for the development of major national equipment in the international market.
From SMIC in the chip industry to Commercial Aircraft Corporation of China in the large - aircraft field and Jiangnan Shipyard in the shipbuilding industry, the headquarters of these major national equipment are all based in Shanghai. In the field of nuclear energy, Shanghai is home to nearly 200 upstream and downstream enterprises in the industrial chain and is a well - deserved high - ground for the incubation of fusion energy.
Shanghai's in - depth participation will inject strong industrial momentum into China Fusion Energy and connect it with more international resources.
In addition to the "Shanghai element", the "Sichuan element" is also crucial.
As the controlling shareholder, China National Nuclear Corporation not only invested 4.56 billion yuan in cash but also contributed intellectual property rights valued at about 3 billion yuan. The accumulation of these core technologies mainly comes from the Southwestern Institute of Physics of China National Nuclear Corporation in Sichuan. The famous artificial sun "HL - 3" was developed by this institute, and Liu Ye, the current Party Secretary of the institute, also serves as the legal representative of China Fusion Energy Co., Ltd.
It can be seen that the R & D and manufacturing capabilities of Sichuan's nuclear industry will play a "stabilizing" role in this cooperation.
With the coordinated capital injection of seven major state - owned enterprises and the strong cooperation between Shanghai and Sichuan, the establishment of China Fusion Energy Co., Ltd. has gathered top - notch resources from various fields. This strategic layout shows that the competition in the fusion industry is not only a competition between enterprises but also a comprehensive contest of national comprehensive strength.
Henry Kissinger, the former US Secretary of State, has a famous saying: "Whoever controls energy controls the world." Currently, countries around the