SHI YU/CHINA DAILY

Global Times-Recently, the A-share market has experienced an upward trend, with high-tech sectors such as artificial intelligence (AI) and semiconductors standing out. Of particular interest is Chinese semiconductor firm Cambricon Technologies, which has captured market attention by becoming the second A-share stock after Chinese liquor giant Kweichow Moutai to surpass the 1,000 yuan ($139.74) per share mark.

After breaking the 1,000 yuan barrier last week, Cambricon Technologies' shares jumped 11.40 percent on Monday, closing at 1,384.93 yuan. Kweichow Moutai's shares increased by 1.80 percent, reaching 1,490 yuan. As a result, the difference in their share prices has narrowed once again.

Not only has Cambricon Technologies experienced an impressive stock performance, but several other high-tech companies have as well. On Monday, the F5G (Fifth-Generation Fixed Network) concept sector rose by 4.54 percent, while the fiber optic concept sector was up by 3.46 percent.

Over the past decade, the A-share market has experienced some adjustments, driven by macroeconomic shifts and industrial restructuring. This evolution has been particularly notable in the growing technology sector, where emerging industries have seen their market valuations rise. Investors from both within China and abroad are increasingly attracted to the potential of these sectors. This trend reflects their confidence in China's technology industry.

The industry stars of China's A-share market are becoming increasingly diverse. This diversification includes premium consumer goods, such as high-end liquor, and advanced manufacturing sectors, which encompass a range of high-tech companies, as well as many other industries.

For a long time, Kweichow Moutai has held a special place in the hearts of Chinese investors due to its high stock price. However, this status is being challenged, drawing increased attention to Cambricon Technologies. Some analysts suggest that the recent market interest in Cambricon Technologies is driven by complicated‌ factors. From an industry perspective, the acceleration of domestic production, combined with the surge in demand for large-scale model inference, has led to a strong need for high-performance chips, drawing significant market attention to chip companies.

In recent times, China's high-tech and chip industries have made significant progress, thanks to sustained investment. This progress runs from fundamental research to practical applications. As technological processes steadily improve, the resilience of the local supply chain has been strengthened, which in turn has driven the continuous development and upgrading of downstream industries such as telecommunications, computing, and intelligent equipment.

The growth of the industry does not necessarily guarantee an increase in Cambricon Technologies' stock price. Generally speaking, as a stock continues to rise, the uncertainty surrounding its future price also tends to increase. There is ongoing discussion in the market about the unpredictability of Cambricon Technologies' future stock performance.

We do not intend to delve into the specific financial reports or the future stock price of Cambricon Technologies. Rather, our focus should be directed toward the recent dynamics within China's A-share technology sector. This vibrancy and volatility are indicative of the ongoing adjustments in the stock market and the real economy.

Although the US continues to suppress China's chip industry, this sector has still achieved continuous development. The US' relentless pressure has instead driven the Chinese industrial chain to strive for rapid progress and pursue independent research and development.

The path to building a cutting-edge semiconductor industry in China is still challenging. The intense attention from the capital market to chip companies, such as Cambricon Technologies, should not lead to underestimating the challenges that may arise. This industry, along with the broader high-tech sector, needs to continue to move forward. The capital market's focus on this industry is both a recognition of its achievements and an expectation for further progress.