"CXMT Pursuing Plans to Build Additional Memory Chip Plant in Beijing"

China's top memory chip maker, ChangXin Memory Technologies (CXMT), is pushing to build an additional memory semiconductor plant in Beijing, Reuters reported today (August 3), citing multiple sources.

According to the report, CXMT is considering building a new 12-inch memory chip plant in the Yizhuang area of southeastern Beijing and is discussing financing options with the Beijing Economic-Technological Development Area.

Some state-owned enterprises have also reportedly expressed their intention to participate in the investment.

However, sources noted that these discussions are still in the early stages, and the scale of investment and financing methods are subject to change.

This investment plan is interpreted as a move to respond to the growing global demand for memory semiconductors.

Reuters previously reported that CXMT is also pursuing the construction of new plants in Hefei, Anhui Province, where its headquarters is located, as well as in Shanghai, and is holding investment talks with other local governments.

If all of these plans are realized, CXMT's monthly production capacity is projected to double from its current level to 600,000 wafers.

According to sources, CXMT currently operates a total of three plants, including in Hefei, with each plant producing about 100,000 wafers per month.

The production scale and investment amount for the new Beijing plant have not yet been disclosed.

Industry insiders estimate that building an advanced memory semiconductor manufacturing plant typically requires more than 10 billion dollars (approx. 14.3 trillion won).

On July 27, CXMT's market capitalization reached 3.28 trillion yuan (approx. 708 trillion won) on its first day of trading on the Sci-Tech Innovation Board (STAR Market) of the Shanghai Stock Exchange, known as China's Nasdaq, propelling it to the top spot in market capitalization on the Chinese mainland stock market upon its listing.

(Photo: AP, Yonhap News)
※ Please note: This article was translated by AI and may contain errors.