Key facts
- CXMT is considering building a second memory-chip plant in Beijing.
- The company is in financing talks with the Beijing Economic-Technological Development Area.
- CXMT is seeking at least 60 million yuan ($8.9 million) in support.
- The planned plant would be located in Yizhuang, Beijing.
- CXMT is China's largest chipmaker by market value and the world's fourth-largest DRAM producer.
CXMT, China's largest chipmaker by market value, is considering building a second memory-chip plant in Beijing and is in financing talks with a tech manufacturing hub backed by the local government, according to sources. The proposed plant would be located in Yizhuang, an area where CXMT already operates a dynamic random access memory (DRAM) chip facility. The company is seeking at least 60 million yuan ($8.9 million) in support from the Beijing Economic-Technological Development Area, with other state-owned tech companies also expressing interest in participating in the financing.
This expansion follows CXMT's recent $8.6 billion IPO, the largest mainland Chinese semiconductor listing on record, which provided fresh capital. The move highlights the intense competition among Chinese local governments to attract major technology firms like CXMT, which is a key player in Beijing's drive for chip industry self-sufficiency amid U.S. rivalry. CXMT is currently the world's fourth-largest DRAM producer, though significantly smaller than global leaders Samsung Electronics, SK Hynix, and Micron.
CXMT operates two 12-inch DRAM fabs in Hefei and one in Beijing, each with a capacity of about 100,000 wafers per month. If previously reported projects in Shanghai and Hefei come online, its total capacity could more than double to over 600,000 wafers per month. The Beijing development area is a significant manufacturing base for technology and chip companies, including SMIC and Naura Technology, and is also positioning itself as a hub for robotics and AI.