Nationwide Blackouts in Spain and Portugal, Chinese Power Equipment Expected to Accelerate Going Global

A large-scale power outage occurred in parts of Spain, Portugal, and southern France on April 28 local time, affecting millions of people. Europe is facing congestion challenges caused by aging power grids and the integration of new energy sources, with 40% of the distribution networks on the continent having been in use for over 40 years.

On April 20, the General Administration of Customs released the export data for electrical equipment in March 2025. In March 2025, the export performance of electrical equipment was robust, with transformers maintaining stable performance, switch exports reaching a new high, and the markets for electricity meters, cables, and inverters showing signs of recovery. In March 2025, China's export value of inverters to Europe was 1.773 billion yuan, up 63.70% MoM and 6.05% YoY. In March 2025, China's export value of switches to Europe was 73 million yuan, up 35.19% YoY. In March 2025, China's export value of cables to Europe was 166 million yuan, up 31.40% YoY. Wanlian Securities pointed out that, against the backdrop of energy transition, the global installed capacity of renewable energy is growing rapidly, coupled with the replacement and upgrading of power grid equipment, leading to steady growth in global power grid construction investment. China's electrical equipment products possess technological and cost advantages, making them highly competitive, and their penetration in overseas markets is expected to continue to rise.

According to the Cailian Press Theme Database, among the relevant publicly listed firms are:

Ginlong Technologies, which is one of the earliest companies to enter the mature overseas inverter market. Minsheng Securities' research report stated that, benefiting from the high growth in emerging markets and the accelerated destocking in Europe, the company's inverter business is trending positively. In Q1 2025, the company's revenue was 1.518 billion yuan, up 8.65% YoY, and its net profit was 195 million yuan, up 859.78% YoY.

Jinpan Technology's dry-type transformers are widely used in various fields such as power generation, transmission, distribution, and consumption. In 2024, the company's export revenue increased by 49% YoY, and its overseas orders more than doubled, demonstrating its strong competitiveness in the global market.