Korean media reports that Chinese memory company Changxin Cunci (CXMT) quickly followed leading companies such as Samsung Electronics and SK Hynix. However, the United States continues to tighten sanctions on Chinese semiconductor industry, and reports that Changxin's depository industry will drop more than estimates.

Korean North Korean daily report shows that despite Changxin's inventory greatly reducing costs, traditional memory markets such as DDR4 have expanded their market share and accelerated advanced memory production such as DDR5, which has threatened international memory companies. However, the export restrictions of advanced DRAM equipment not only make it more difficult to expand production capacity, but also face challenges in developing next-generation DRAM such as high-frequency wide memory (HBM).

Market estimates that Changxin Cash's annual DRAM production capacity is less than 10% lower than the estimate. The original plan was to invest large-scale equipment to ensure the production capacity of 300,000 pieces of wafers per month by the end of the year, but US sanctions came into effect, and the production capacity was only about 250,000 pieces of wafers per month. Changxin Cash now produces about 200,000 wafers. Although the influence of Changxin deposit DRAM market has increased, after the US export restrictions, importing foreign equipment will be more difficult, and the production capacity will decline compared with estimates.

Market research company Counterpoint Research estimates that Changxin Cash's share of shipments in the global DRAM market will grow from 7% in 2025 to 10% in 2027. Counterpoint Research pointed out that Changxin Cash is rapidly narrowing the market gap with general DRAM international companies, and the competition in HBM is becoming increasingly fierce. Changxin Cunyuan is also working hard to stabilize the yield of DRAMs such as DDR5 and develop HBMs for AI accelerators.

However, HBM is an AI chip key component and the United States is listed as an export control project. China's AI semiconductor design companies, such as Huawei, are facing difficulties in supplying when it is tightening to develop AI chips that can operate AI models. A Korean semiconductor market person pointed out that as China's AI semiconductor companies increase demand for HBM development, Changxin Cash is also developing HBM3.

However, Changxin Cunyuan is included in the list of US export control enterprises, and it is analyzed that imported application materials and foreign advanced equipment such as Colin R&D will be restricted. According to the UK Financial Times Report, the US Department of Commerce Industry and Safety Bureau (BIS) is considering including Chinese Changxin Cash and other companies in the physical list, so that many US equipment company engineers of Changxin Cash and equipment manufacturers will withdraw from Changxin Cash and stock.

Although Chinese enterprises are accelerating the self-sufficiency of semiconductor equipment to meet export controls on the United States. But in terms of advanced memory semiconductor manufacturing, they still rely heavily on foreign equipment. Therefore, with the intensification of US sanctions, it will not only become difficult to expand production capacity, but also the development of HBM will inevitably face challenges.