Nuggets Chinese foundry, SK Hynix moved 200mm wafer production line to Wuxi

China is a big consumer of semiconductor chips, but with the various barriers set up by the US government to cut off semiconductor sales to certain Chinese commercial electronics manufacturers, it is bound to promote the improvement of China’s domestic semiconductor supply capacity.

Facing the huge market in China, SK Hynix has begun to quietly deploy.

Not long ago, SK hynix acquired Intel’s NAND flash memory business and Dalian factory. Recently, according to BusinessKorea, SK hynix is ​​expanding its foundry business in China.

It is reported that SK Hynix System IC, a subsidiary of SK Hynix specializing in the foundry business, has sold all of its semiconductor production equipment at its Cheongju plant in North Chungcheong Province to a joint venture under the group in Wuxi, China.

As a memory supplier, since 2020, SK hynix has begun to expand its business from memory semiconductors to foundry business. The BusinessKorea report pointed out that amid the Sino-US trade dispute, moving manufacturing equipment from South Korea is seen as a strategic move to further expand its foundry market in China.

SK Hynix System IC sold 1,206 pieces of semiconductor equipment to SK Hynix System IC’s joint venture in Wuxi, China for 194.2 billion won (about 1.15 billion yuan), accounting for 29.2% of the former’s total assets.

In fact, this batch of devices sold is a follow-up to Hynix’s announcement in July to relocate SK Hynix System IC’s M8 plant in Cheongju to China.

The company plans to move its 200mm wafer production line in Cheongju to China to manufacture low- and mid-range products. In Korea, Hynix’s foundry business will focus on high value-added products, including 300mm wafer image sensors.

Technical Capability of SK Hynix System IC

21ic home inquiries learned that SK Hynix System IC is a foundry company established by SK Hynix in 2017 to ensure that new growth engines are kept away from memory semiconductors. SK Hynix system ic has a process from 57nm to 0.35um, providing a proven (mass production) process platform for Large DDI customers, power management and CIS Fabless customers, and is also developing Mixed-Signal (including MTP and Embedded Flash IP) ) and MEMS process platform. The company formed a joint venture with WIDG, an investment company of the Chinese government of Wuxi, in 2018, and completed construction of the fab in the first quarter of 2020, which is currently in trial production.

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