Yangtze Memory Technologies Expands Chip Production

Yangtze Memory Technologies (YMTC), China's largest maker of NAND flash memory chips, is planning a major expansion of its production capacity. The company aims to build two new factories in addition to a third one that is nearing completion in Wuhan. When all three are fully operational, Yangtze Memory Technologies' production capacity is expected to more than double, with each new plant capable of producing 100,000 wafers per month. The third factory in Wuhan is set to begin operations late this year and reach 50,000 wafers per month by 2027, with over 50% of its equipment sourced from domestic companies like Advanced Micro-Fabrication Equipment. This expansion is a strategic move by China to reduce its dependence on foreign semiconductor technologies, especially in light of restrictions imposed by the United States, including the United States — United States Department of Commerce adding Yangtze Memory Technologies to its Entity List in December 2022. Yangtze Memory Technologies is also expanding into DRAM production, sending low-power DRAM samples to clients. Analysts note that Yangtze Memory Technologies' latest Xtacking 4.0 architecture is competitive with products from industry leaders such as Samsung Electronics, SK Hynix, Kioxia, Micron Technology, and Western Digital — Sandisk. UBS predicts Yangtze Memory Technologies' global NAND flash market share will exceed 14% by early 2027.