On April 17, 2026, the Shenyang National Laboratory for Materials Science under the Institute of Metal Research, Chinese Academy of Sciences (CAS), announced that a research team led by Professor Lu Lei has successfully developed a “super copper foil” featuring ultra-high strength, high electrical conductivity, and excellent thermal stability. The findings were published online the same day in the prestigious journal Science.
As a core material for integrated circuit interconnects and lithium battery current collectors, copper foil plays a critical role in ensuring the stability of AI computing systems and new energy applications. It holds dual strategic importance as both the “nervous system” of industry and the “lifeblood” of new energy. Traditionally, copper foil has faced a trade-off between strength, conductivity, and thermal stability—often referred to as an “impossible triangle.”
The breakthrough lies in a novel “gradient-structured” micro डिजाइन. Within a copper foil just 10 microns thick, the team engineered nanoscale domains averaging only 3 nanometers in size, arranged in an alternating, periodic gradient along the thickness direction—resembling the interwoven threads of fabric.
Performance metrics are remarkable: the tensile strength reaches up to 900 MPa, far exceeding conventional limits; conductivity remains at 90% IACS, roughly double that of traditional copper alloys with similar strength; and no performance degradation is observed after six months at room temperature. Crucially, the technology is compatible with continuous industrial-scale production, paving the way for commercialization.
Industry Upswing Driven by Demand and Supply Dynamics
The “super copper foil” breakthrough coincides with a strong cyclical upturn in the copper foil industry.
On the demand side, three major growth drivers are emerging. Energy storage batteries are expected to see demand growth exceeding 40% in 2026, surpassing power batteries as the largest incremental source. Meanwhile, the AI computing boom is accelerating demand for high-frequency, high-speed PCB copper foil used in servers and data centers. Although growth in power batteries is moderating, higher energy capacity per vehicle and increasing penetration of commercial EVs continue to provide stable support. According to GGII, lithium battery copper foil shipments reached 940,000 tonnes in 2025 (+36% YoY) and are projected to grow to 1.15–1.2 million tonnes in 2026 (+20%+ YoY).
On the supply side, effective capacity remains tight. Following the downturn in 2023–2024, expansion willingness has weakened, leading to a structural mismatch where nominal capacity appears sufficient but effective supply is constrained. Capacity additions in 2026 are mainly incremental expansions rather than large-scale new projects. Operating rates have climbed above 90% by March 2026, with long-term supply agreements increasingly common.
Processing fees are rising, marking a shift from a “volume-over-price” strategy to simultaneous growth in both volume and pricing. Leading producers have reported improved profitability, driven by higher processing fees and a greater share of high-value-added products.
Investment Logic and Key Beneficiaries
According to a research report by Huaxi Securities, copper foil is a capital-intensive industry where capacity expansion has remained limited in recent years. With rapid growth in both power and energy storage demand, supply is tightening and processing fees are on the rise. At the same time, the expansion of AI technologies is driving strong demand for PCB copper foil, further squeezing lithium battery copper foil capacity. Coupled with higher performance requirements, this trend is expected to significantly improve supplier profitability.
Eastmoney Securities shares a similar view, noting that lithium battery copper foil remains in short supply, while electronic copper foil equipment stands to benefit substantially from AI-driven demand growth.
Against this backdrop, the emergence of “super copper foil” further strengthens the industry’s growth logic. The performance breakthrough is expected to unlock incremental opportunities in three key areas:
First, accelerated product upgrades—high-performance copper foil is likely to push PCB technology from M6/M7 to M8/M9, with M8 demand projected to double in 2026 and M9 entering mass production in Q3, delivering gross margins of 40–50%.
Second, import substitution—high-end copper foil has long been dominated by global players such as Mitsui Mining & Smelting, leaving significant room for domestic alternatives.
Third, new applications—rising demand from advanced smartphone chips, fast-charging electric vehicles, and AI computing hardware will further boost the need for high-performance copper foil.
Key Segments to Watch in China’s A-share Market
1. Lithium Battery Copper Foil Leaders
The improved conductivity and thermal stability of “super copper foil” can reduce internal resistance and enhance charging speeds, making it a key material for fast-charging EV batteries.
· Jiayuan Technology: A leading domestic producer with six production bases and an annual capacity of 135,000 tonnes as of early 2026, operating at over 90% utilization. High- and ultra-high-strength copper foil accounts for over 60% of shipments, with advanced products already in large-scale supply. The company signed a framework agreement with CATL in November 2025 for the supply of 626,000 tonnes of anode current collector materials between 2026 and 2028. Its Q1 2026 net profit surged more than 11-fold year-on-year, signaling a clear earnings inflection point.
· Nord Copper: A global leader specializing in ultra-thin (4.5μm and 3μm) high-end copper foil, with mature mass production capabilities and strong partnerships with leading battery makers such as CATL and BYD.
2. AI-Driven PCB Copper Foil Segment
AI servers and advanced computing systems require low-loss, high-stability copper foil for signal transmission. “Super copper foil” is well-suited to these applications, driving demand for high-end PCB copper foil.
· Tongguan Copper Foil: A key domestic player focused on high-end HVLP copper foil, and one of only three companies globally capable of stable mass production across the full HVLP1–4 range, with yields exceeding 75%. Its products are widely used in AI servers and high-end PCBs.
· Defu Technology: A leading supplier of high-end PCB copper foil, benchmarking against imported products and accelerating domestic substitution in AI and advanced electronics applications.
3. Composite Copper Foil Supply Chain
The breakthrough further validates the feasibility of next-generation copper foil materials and is expected to accelerate the commercialization of composite copper foil, which offers advantages in safety and lightweight design. China’s latest “15th Five-Year Plan” (March 2026) has identified composite current collectors as a key development focus in next-generation batteries.
· Shuangxing New Materials: A leading supplier of ultra-thin PET films, serving as a core upstream material provider for composite copper foil, with strong technological capabilities and ample capacity.
In addition, equipment manufacturers are also poised to benefit. Eastmoney Securities highlights companies such as Taijin New Energy, Hongtian Co., Ltd., and Sanf New Materials as key beneficiaries of increased capital expenditure across the copper foil industry.
Source：Tencent