Guojin Securities: 3C market penetration triggers industrialization inflection point for 3D printing

Technology, Materials, and Supply Chain Synergies Drive Expansion

After four decades of development, 3D printing entered mass production phase in 2018. This milestone was marked by the launch of multi-laser, large-format metal printing systems, including the EOS M300 4-laser, BLT-S800, and SLM-NXG XII 12-laser systems. PBF (Powder Bed Fusion) and DED (Directed Energy Deposition) processes have transitioned from laboratory settings to industrial-scale applications.

Material cost breakthroughs have been a key driver. Advances in hydrogenation-dehydrogenation and spheroidization processes have significantly improved target particle size yield rates, substantially reducing the production cost of high-end titanium powder. In 2018, imported spherical titanium powder cost as high as RMB 3,000 per kilogram. Following these technological breakthroughs, titanium powder prices have dropped to approximately RMB 200 per kilogram. Combined with recycling闭环 systems, the comprehensive cost per gram is expected to continue declining.

Supply chain localization in China has accelerated. The domestic 3D printing market is projected to reach approximately RMB 70 billion in 2025. The entire value chain—including equipment, lasers, galvanometers, and powder materials—has achieved full localization, driving the industrialization of 3D printing.

Downstream Penetration: Consumer Electronics and Commercial Aerospace Lead, Medical and Robotics Open Long-Term Potential

Consumer Electronics at an Inflection Point

Apple has initiated mass production of titanium alloy casings for the Apple Watch Ultra 3. In 2026, Apple's foldable iPhone Duo will incorporate 3D printing technology. According to Apple's official press release, the iPhone Duo features a 3D-printed hinge cover made from 100% recycled titanium, offering excellent durability and high strength. We believe the industrial significance extends beyond a single product's volume—it represents formal recognition of additive manufacturing within Apple's supply chain. This could drive 3C metal structural components to expand from hinges, casings, and connectors to core parts such as mid-frames.

Commercial Aerospace Simultaneously Scales

Rocket engine thrust chambers, nozzles, and turbine pump housings are being mass-produced using both PBF and DED processes. The cost-reduction imperative for reusable rockets ensures sustained demand.

Humanoid Robots and Medical Implants Open Long-Term Growth

Humanoid robots require lightweight, multi-part integration, and tool-free rapid iteration. In the medical field, additive manufacturing reduces the marginal cost of customization to near zero, while porous structures enhance bone integration. These two application areas together create a long-term growth trajectory.

Value Chain: Equipment and Services as Dual Engines

According to the Wohlers Report 2026, printing services account for 48.3% of the 3D printing industry's value chain, while printing equipment accounts for 25.6%, together exceeding 70%. The "equipment + services" trend is evident: manufacturers provide printing services alongside equipment sales. Service revenue is recurring and sustainable, offering stable cash flow beyond equipment sales. Competitive barriers have expanded from standalone hardware to a combined "hardware + process" capability.

Under the "selling capacity, selling results" model, service providers deliver qualified components on a per-piece basis. Customers purchase not equipment but assured manufacturing outcomes. Revenue is deeply tied to downstream production volume, offering the highest sustainability. This model demands the highest competitive barriers, requiring mastery of equipment, processes, materials, and quality certification systems. Scale effects and accumulated process databases form core moats.

Investment Recommendations and Valuation

The 3D printing industry is transitioning from "black technology" to a "default option in the supply chain." With increasing penetration in 3C and commercial aerospace, we are optimistic about the long-term development prospects of additive manufacturing as a partial substitute for subtractive manufacturing. We maintain a "Buy" investment rating.

We favor 3D printing equipment and service providers. Recommended stocks include:

• Bright Laser Technologies (BLT): A leading global metal additive manufacturing company with a full-industry-chain ecosystem covering "equipment + customized products + raw materials + technical services." It holds a significant share in Apple's 3D printing business.

• Farsoon Technologies: A globally leading equipment manufacturer and one of the few companies covering the full spectrum of large-format and multi-laser systems. It is transitioning from a pure equipment provider to an "equipment + services" model. In 2026, it plans to invest RMB 2.36 billion in building an additive manufacturing integrated service platform.

• Opt Machine Vision: A full-stack leader in machine vision. Its vision systems provide intelligent perception for SLM equipment, including calibration, in-process melt pool monitoring, and finished product quality inspection—a core standard for high-end equipment. With strong ties to leading mobile phone customers, the ramp-up of Apple's foldable devices will directly drive expansion of its visual inspection systems, opening a second growth curve.

• Han's Laser: Its subsidiary, Han's PolyV, has made strategic early moves. Its 3D printing equipment portfolio covers multiple processes including selective laser melting. It has also launched an online 3D printing service marketplace, positioning itself in the "equipment + services" space.