The material revolution under capital frenzy: Ultra-High Molecular Weight Polyethylene Fiber Stands at the Forefront

Thin as paper, hard as steel, seemingly ordinary ultra-high molecular weight polyethylene fibers are quietly triggering a dual transformation in capital and industry.

Source: Stand

In early December, two landmark events occurred in the field of new materials. Nanjing Jiuzhou Xingji completed a financing round of nearly 1 billion RMB, setting the largest financing record in China's primary market for new materials this year; shortly thereafter, the listed company Tongyi Zhong announced an investment of 198 million RMB for expansion.

Two events are focusing on the same miraculous material—ultra-high molecular weight polyethylene fiber (UHMWPE). The capital market has expressed its strong optimism about this material with real money. Behind this is the explosive growth in demand for high-performance fibers in high-end fields such as humanoid robots, marine engineering, and safety protection.

Source: Kyushu Interstellar Official Website

01 Billion-dollar funding ignites the track.

On December 4th, Nanjing Jiuzhou Xingji completed a strategic financing round of nearly 1 billion yuan, jointly led by China National Building Material New Materials Fund and IDG Capital. This figure makes it one of the largest financing events for new materials companies in China's primary market by 2025. Details of the financing reveal that this transaction includes direct capital increase and a small portion of equity transfer, with Guoxin Fund's affiliated Guofeng Investment Fund co-investing. The participation of state-owned capital and top investment institutions highlights the high recognition of the value in this sector by capital markets.

On December 9th, the listed company Tongyizhong announced an investment of 198 million yuan to construct a project with an annual production capacity of 2,400 tons of ultra-high molecular weight polyethylene fiber, with a construction period of only 10 months. The project will utilize existing factory buildings to rapidly expand production lines in order to meet the demands of niche markets such as lightweight protection and fishing line weaving.

Source: Tongyi Zhong official website

The enthusiasm of the capital market for the new materials sector is not without reason. According to data from the China Chemical Fibers Industry Association, the market size of China's UHMWPE fiber reached 4.2 billion yuan in 2024, with a compound growth rate expected to remain at a high level of 20% from 2025 to 2027. Globally, the demand for UHMWPE is 120,000 tons in 2024, and it is expected to reach 200,000 tons by 2027, with a compound annual growth rate of 19%.

02 Why has a single fiber become a strategic battleground?

Ultra-high molecular weight polyethylene fiber, along with carbon fiber and aramid fiber, is known as one of the "world's three major high-performance fibers" and is an important strategic material for the nation. Its unique properties make it an indispensable fundamental raw material in various high-end fields.

UHMWPE fiber is most notably characterized by being "as light as paper and as hard as steel." Its strength surpasses that of ordinary steel wire by 15 times, while also offering core advantages such as impact resistance, cut resistance, UV resistance, and lightweight properties. These characteristics make it the "material cornerstone" in strategic fields such as national defense, military industry, aerospace, and deep-sea engineering.

In recent years,The explosion of the humanoid robot industry forUHMWPEFiber has created new growth poles.The transmission tendon of a robotic dexterous hand requires extremely stringent material specifications, including high strength, low creep, wear resistance, and foldability without damage, and UHMWPE fibers meet these requirements.

Nanshan ZhishangOn the interactive platform, it was stated that the company is collaborating with Joyson Electronics on humanoid robots, and is currently manufacturing fabric materials for the robot's head. The tendon rope product applied to the dexterous hand of the robot has received small batch orders from some robot manufacturers.Henghui SecurityThe company has successfully achieved product delivery for its robot flexible joint protectors and protective gloves.

Marine economic development for UHMWPEFiber offers another vast market.Marine aquaculture cages, mooring ropes, and other marine engineering equipment require extremely high standards of lightweight, high strength, and corrosion resistance, making UHMWPE fibers an ideal choice.Tong YizhongThe announcement clearly states that the project will expand the application value of the product in fields such as marine engineering.

03 The capacity race is heating up, who is leading?

Under the surge in market demand, domestic companies are accelerating their capacity layout, and a competition regarding UHMWPE fibers has already begun.Kyushu interstellar with excess3The production capacity of 10,000 tons ranks first in the world. The company plans to increase the production capacity of the Yangkou Port plant to 2 by the end of next year.Ten thousand tons, and supporting the construction of 7A factory building. Long-term planning shows that its target production capacity reaches 4.Up to 810,000 tons, fully striving to capture the civilian market. More importantly, Jiuzhou Interstellar has established coverage of 10D.To 1600DFull specification product matrix, layout.FiberNon-woven fabricTerminal productThe entire industrial chain, and breakthrough in ultra-high tensile strength products, represents the highest level in the country.

Tong Yi ZhongFounded in 1999 as an industry veteran, the company was listed on the STAR Market in 2021. The company focuses on two high-performance fiber sectors: UHMWPE fibers and their composites, as well as meta-aramid fibers and aramid paper. It possesses a complete industrial chain from polymerization to spinning to non-woven fabric. The addition of 2400 tons of capacity will further enhance the company's leading position in the niche market.

Nan Shan Zhi ShangCurrently, the production target of 3,600 tons of ultra-high molecular weight polyethylene products has been reached, achieving a balance between production and sales. The company's Phase I 600-ton and Phase II 3,000-ton ultra-high molecular weight polyethylene fiber projects are fully operational, offering a complete range of products including 400D, 800D and above special protective series fibers, as well as 1000D-1600D marine rope and net series fibers.

Henghui SecurityThe company has adopted a dual-wheel strategy of "functional safety protective gloves + strategic new materials (UHMWPE fibers)." The annual production project of 4,800 tons of ultra-high molecular weight polyethylene fiber has been steadily advanced to the production line linkage debugging stage as planned, with the overall planning of constructing an annual production of 12,000 tons of ultra-high molecular weight polyethylene fiber.

From the perspective of capacity layout, leading companies are actively expanding their capacity while extending their industrial chains downstream to enhance product added value. This vertical integration model helps companies control costs and improve market competitiveness.

04 Hidden Concerns: Breakthrough Battle in the High-End Market

Behind the prosperity, challenges cannot be underestimated. Despite the rapid development of the domestic UHMWPE fiber industry, it still faces severe technical challenges, and the reality of less than 3% penetration in the high-end market cannot be ignored.

The current production processes for UHMWPE fibers primarily include gel spinning and melt spinning, with the former being predominantly used for industrial-scale production. Based on the type of solvent used and the removal method, gel spinning can be divided into dry and wet processes. In addition to these methods, the domestic...Yizheng Chemical FiberOther UHMWPE fiber producers all use wet spinning technology, except for those using dry spinning technology.

The high-end market by the United StatesAvantUSAHoneywellAnd JapanToyoboInternational giants dominate the industry, with capacities of 14,200 tons (dry process), 3,200 tons (wet process), and 3,000 tons (wet process) respectively. These companies have a clear advantage in high-end product technology.

The domestic industry faces multiple challenges: high discreteness in the spinning process control and poor batch consistency; weak interface bonding force in the subsequent composite process, which restricts the performance enhancement of composite materials. There are also shortcomings in the raw material sector. The domestic rate of high-end fiber-grade special resin is less than 40%, with high-purity grades relying on imports; the absence of high-end catalyst systems leads to poor resin compatibility and batch stability.

Facing challenges, domestic enterprises are actively seeking breakthroughs.Kyushu InterstellarIndependently developed a solvent-free green production process, breakthrough in medium-strength polyethylene fiber technology, significantly reducing production costs.Nanshan ZhishangSigned a strategic cooperation agreement with the Institute of Industrial Science at Wuhan University and Shouzhi Innovation to jointly develop patents related to the humanoid robot field, promoting the application of ultra-high molecular weight polyethylene fibers in the robotics sector.

05 The Future is Here: Imaginative Space Driven by Dual Wheels

Looking ahead, the expansion of application scenarios and cost reduction will form a dual engine driving the continuous growth of the UHMWPE fiber industry.Humanoid robotThe acceleration of industrial deployment will continue to drive the demand for transmission tendons. Companies like Henghui Security and Nanshan Zhishang have taken the lead in delivering product samples or small batches, seizing market opportunities.

Marine EconomyThe development provides a stable demand foundation. The rapid development in fields such as offshore wind power and deep-sea exploration continuously increases the demand for high-performance ropes and mooring cables.

Cost reductionThis will open up a broader civilian market space. With technological advancements and expanded production capacity, UHMWPE fibers are expected to enter the mass consumer sectors such as home textiles and sports goods. For example, Kyushu Interstellar has made breakthroughs in medium-strength polyethylene fiber technology, offering end customers a higher cost-effective option.

The capital market's favor towards this "strongest fiber" is essentially a vote of confidence in the future of national strategic emerging industries. As application scenarios continue to expand and technology continues to advance, ultra-high molecular weight polyethylene fiber is moving from being a special material into the public eye, weaving a future full of infinite possibilities.

Editor: Lily