China's Lab-Grown Diamond Producers Emerge as Surprise AI Boom Winners — Heat Spreaders Begin Commercial Shipments as GPU Density Demands New Chip Cooling Materials

Chinese lab-grown diamond producers SF Diamond and Henan Liliang Diamond have begun commercial shipments of diamond heat spreaders to AI chipmakers, exploiting diamond's exceptional thermal conductivity to manage heat in dense GPU and CPU configurations where traditional copper cooling approaches physical limits. Zhecheng Huifeng Diamond Technology and SF Diamond surged 51% and 40% respectively last week on the news, dwarfing the CSI 300's 1% advance, as clients validated the materials for high-power AI server racks. The development adds a new axis to China's AI supply-chain self-sufficiency push, giving domestic producers a structural advantage in a cooling materials segment growing with every generation of higher-density AI accelerators.