Changes in Hong Kong stocks | Changfei Optical Fiber Cable (06869) rose more than 7% in early trading, China's first anti-circumvention investigation took measures against US fiber products

The Zhitong Finance App learned that Changfei Optical Fiber Cable (06869) rose more than 7% in early trading. As of press release, it had risen 6.27% to HK$47.8, with a turnover of HK$591 million.

According to the news, the Ministry of Commerce's website recently issued a notice announcing anti-circumvention measures against imported fiber-optic products originating in the United States. According to reports, the launch of this anti-evasion investigation stemmed from the just demands of Changfei, a leading domestic company. On March 4, 2025, in response to the application of Changfei Optical Fiber and Cable Co., Ltd., the Ministry of Commerce issued Notice No. 14 of 2025 to officially launch an anti-circumvention investigation against US G.654.C optical fiber. This case is China's first anti-circumvention investigation.

It is worth noting that Changfei Optical Fiber recently announced that fiber optic cable products related to data centers account for a small proportion of global fiber optic cable demand. Among them, as a cutting-edge product in the industry, air core optical fiber has not yet formed large-scale sales and stable price and profit levels. Subsequent application scenarios and business development are yet to further mature the industrial chain, and there is great uncertainty. Currently, the air core optical fiber-related business has not had a significant impact on the company's financial data. DBS downgraded Changfei Optical Fiber Cable's rating from “purchase” to “full valuation”, and the target price was raised from HK$20.2 to HK$40.3. Since the stock price has increased about 3 times over the past six months, the bank believes that the market is overreacting to the company's development.