Trend may be difficult to sustain as China remains under US export controls, analysts say
HONG KONG — Samsung Electronics and SK hynix are stepping up investments in their wafer fabs in China, racing to boost supply amid high market demand for artificial intelligence (AI) computing, according to industry analysts. The move underscores China’s continued role in semiconductor production despite U.S. restrictions.
Last year, Samsung Electronics invested 465.4 billion won ($308.8 million) in its chip plant in Xi’an, Shaanxi province, a 67.5 percent increase from a year earlier, according to its annual report filed March 10 with the Financial Supervisory Service.
SK hynix also ramped up spending, investing 581.1 billion won in its chip plant in Wuxi, Jiangsu province, up 102 percent year on year, and 440.6 billion won in its Dalian facility in Liaoning province, a 52 percent increase from 2024, according to its March 17 annual report.