The demand for powders in the AI photovoltaic field has exploded, and the performance has continued to grow. "Xinchuan Electronics" has received nearly 100 million yuan in pre-IPO round financing | First published by 36Kr

Text | Zhang Bingbing

Editor | A Zhi

36Kr learned that Hangzhou Xinchuan Electronic Materials Co., Ltd. (hereinafter referred to as "Xinchuan Electronic") recently announced that it has completed a nearly 100 million yuan pre-IPO round of financing, jointly participated in by institutions such as Hangzhou Urban Construction Investment, Lenovo Investment, Fuzhe Technology, and Zhejiang Communications Investment Industry Transformation Fund. The funds will be mainly used for the research and development of products such as MLCC 60nm - 80nm finished nickel powder, photovoltaic special copper powder, and base metal catalysts, as well as the expansion of production lines and market development.

"Xinchuan Electronic" is an enterprise that 36Kr has been following for a long time. It focuses on the research and development and production of nano - scale metal powders, with nickel powder for MLCC (Multilayer Ceramic Capacitors) and ultra - fine soft magnetic powder as its core products. Its high - end finished nickel powder of 200nm and below for internal electrodes was rated as "the first batch of new materials in China" in 2024, solving the problem of domestic production of high - end MLCC internal electrode materials. The ultra - fine soft magnetic alloy powder has been applied to the world's mainstream leading inductor manufacturers.

The product R & D laboratory of "Xinchuan Electronic"

Xie Shangchuan, the founder of "Xinchuan Electronic", summarized the important progress in the past year. The three most core aspects are: maintaining high - speed growth in performance; increasing the customer base, further adding overseas customers from Japan and South Korea; expanding the business scope, with mass sales achieved for MLCC nickel powder, AI soft magnetic powder, and photovoltaic copper powder.

In terms of performance growth, Xie Shangchuan believes that the rapid development of the AI industry has brought good development opportunities to the entire industry. For start - up companies, to seize the growth opportunities, the most important thing is a team that adheres to long - term technological development and has the ability to efficiently iterate and upgrade products. This is driven by both customer support and technological capabilities: "In the material industry, without the cooperation of customers, no matter how powerful we are, we can't produce good materials. This is a decisive factor. With the support and trust of customers, we can quickly match the needs, which reflects our technological capabilities. The combination of these two factors is the most important reason for the rapid iteration of our products."

In terms of the customer base, the ultra - fine soft magnetic powder products of "Xinchuan Electronic" have been adopted by leading AI chip manufacturers; the photovoltaic copper powder products have deeply participated in the technological R & D of industry customers and gradually started mass production; for the MLCC nickel powder products, market development has been carried out in Japan and South Korea, where the core industrial chain is located, achieving customer breakthroughs. In the next two years, the market development of 60 - 80nm finished nickel powder will be the key focus.

In terms of the business scope, currently the product lines of "Xinchuan Electronic" are mainly divided into MLCC nickel powder, ultra - fine soft magnetic powder, photovoltaic copper powder, and future base metal catalysts for hydrogen production. In the future product planning, Xie Shangchuan believes that the three major product lines are all core key basic materials. The team needs to balance R & D efforts to serve various types of customers. From the development trend, photovoltaic copper powder will be an important iterative product in the cost - performance revolution.

Schematic diagram of the Lishui production line of "Xinchuan Electronic"

China accounts for a large proportion in the photovoltaic industry chain, and the market capacity is much larger than that of the electronics industry. With the sharp fluctuations in the prices of precious metals, the time for base metal substitution has come. Xie Shangchuan analyzed that the substitution of metal materials is a major industrial revolution and upgrade. In the past, due to cost considerations, photovoltaic enterprises would not rashly switch technologies. However, as the prices of non - ferrous metals such as silver rise, economic factors will drive the industry to carry out technological iteration. At the same time, the improvement of the performance of photovoltaic copper powder products will also facilitate the implementation of the technological route.

"At present, several leading companies are promoting the use of base metals. Once it succeeds, the photovoltaic industry will return to the era of cost - first." Xie Shangchuan estimated that in the second half of 2026, photovoltaic copper powder is expected to be implemented on a large scale. "With the development of the entire industry, photovoltaic copper powder or photovoltaic - related basic base metal materials are likely to become one of our largest businesses."

In terms of organizational planning, "Xinchuan Electronic" completed the shareholding reform in July 2025 and plans to go public in 2028.

"I believe this will be a relatively successful transformation, helping the company use the capital market to expand more smoothly in the AI market and the green energy market. By maintaining a technology - centered approach, when expanding on a large scale in the future, management will be more standardized and the risks will be smaller." Xie Shangchuan summarized. His core concern is to make "Xinchuan Electronic" a valuable company that promotes the development of the industry and global science and technology, and realizes the vision of "a global leading supplier of core materials for electronic information and green energy".

2026 - 2027 will be the core and critical nodes for the capacity expansion of "Xinchuan Electronic". It is expected that the production capacity will be expanded to 4,000 tons in 2026 and reach 6,000 tons in 2027.

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This article is from the WeChat official account "36Kr Future Industries". Author: Zhang Bingbing, A Zhi. Republished by 36Kr with authorization.