#SKHynixNANDExpansion

$SKHYNIX It's about to take off. Hynix to expand its Dalian factory again, boosting NAND capacity by 50%! SKHYNIXUSDT Perp 1,008.22 +0.57%

Major negative news landed! $SKHYNIX SK Hynix expands NAND production capacity in China by 50%, the storage bull market bubble is about to be directly burst 🔥 Exclusive Korean media report on August 11: SK Hynix restarts the second phase of the Dalian NAND factory, expanding local production capacity by 50% after commissioning. Equipment will be installed in November, with mass production starting in the first half of next year, adding 50,000 wafers of capacity per month. In the past year, AI has driven NAND prices to surge nearly tenfold, with $SNDK, $MU, and $SKHY all soaring. The core hype was the tight capacity. Now, large-scale capacity expansion directly breaks the supply-demand gap logic, fully exposing the long-term risk of oversupply. $SKHY plunged 1.9% overnight, with institutions simultaneously lowering target prices; only SNDK holds 93.9 billion in long-term locked-price orders, with half of its capacity locked in advance, unaffected by capacity expansion, making it the only safe-haven stock in the sector. Price hikes rely on supply shortages to sustain; collective capacity expansion is the bull market terminator. Retail investors blindly chasing storage stocks ignore the massive new capacity coming online next year. Bottom-fishing $SKHY and $MU now will face supply-driven sell-offs in a year, with valuation bubbles bursting rapidly. Only $SNDK, backed by orders, can survive the cycle; other storage stocks have huge correction potential! ⚠️This article's information is only an objective market interpretation and does not constitute any stock investment advice #AI基建融资升温，英伟达英特尔路径分化 #苹果测试长鑫存储芯片并展开初步供货谈判 #财报观察员：AI基建财报接力登场

SK hynix is restarting construction of its second NAND fab in Dalian, China, according to Seoul Economic Daily. The expansion could increase its China NAND production capacity by roughly 50%. Equipment installation could begin as early as November, with mass production targeted for the first half of 2027. This is a notable signal. SK hynix had previously paused the project during the NAND downturn. Now, with AI data centers driving stronger SSD and NAND demand, the company is putting capacity expansion back on the table. The memory cycle may be turning into something much bigger than just an AI boom.

The storage sector now basically has very little volatility, but trading volume still ranks among the top. It feels like Hynix's trend is somewhat similar to SpaceX's before, where after extreme deleveraging ended, both bulls and bears exited, entering a high turnover + low amplitude accumulation phase. Although the narrative bubble has burst, the fundamentals of Samsung, Hynix, and Micron are indeed solid, especially compared to SpaceX, which has a real profit anchor. Against the backdrop of AI's rapid development, even if we can't say storage will always be in shortage, demand remains strong, especially for HBM and server DRAM, which are indeed in tight supply. NAND supply might be the first to start improving in the future. So the growth ceiling for the three major memory makers should actually be higher than SanDisk's. Currently, Hynix's common stock at 1,420,000 KRW/1000 USD seems to have a decent cost-performance ratio, so I opened a long position again to hold some, while ADRs have a premium, and I don't know when they might suddenly be leveled out. Psychologically, shorting ADRs feels more secure than going long, so I first go long on the common stock. Generally, extreme market conditions last about two weeks, so now positioning for recovery has a much higher success rate than betting on further declines. $SKHYNIX $SNDK #AIInfraEarningsWatch #CPIToResetFedBets #AIInfraFundingDiverges

SK HYNIX $SKHY PLANS TO INCREASE NAND PRODUCTION CAPACITY IN CHINA BY ~50% BY RESTARTING DALIAN FAB 2, PER SEOUL ECONOMIC DAILY.

SK HYNIX TO INCREASE NAND PRODUCTION IN CHINA BY 50% - SEDAILY

SK HYNIX TO INCREASE NAND PRODUCTION IN CHINA BY 50% - SEDAILY

Exclusive: SK hynix to Increase NAND Production in China by 50% SK hynix is resuming construction of its second NAND flash plant in Dalian, China, expanding its local production capacity by approximately 50%. Construction of the Dalian Fab 2 began four years ago but was suspended for an extended period following the memory market downturn. SK hynix plans to begin installing semiconductor production equipment by year-end and bring the fab into full operation in the first half of next year. According to semiconductor industry sources on August 11, Solidigm, the NAND subsidiary of SK hynix, resumed investment in Dalian Fab 2 in the first half of this year and restarted construction. Production equipment is expected to begin moving in as early as November, with the fab slated to establish a mass-production system and begin manufacturing NAND flash in the first half of next year. The new line is reportedly designed for monthly wafer input capacity of around 50,000 wafers. Combined with the existing Dalian Fab 1’s capacity of 100,000 wafers per month, this would increase SK hynix’s local production capacity by approximately 50%. Investment in Dalian is moving forward again after a four-year hiatus as the expansion of artificial intelligence data centers drives a surge in demand for enterprise solid-state drives, pushing NAND prices to nearly 10 times their level a year earlier. SK hynix launched Solidigm after acquiring Intel’s NAND business in 2021, taking over Dalian Fab 1 and the surrounding site before beginning construction of Fab 2 in May of the following year. However, the memory downturn and U.S. restrictions on exports of semiconductor manufacturing equipment to China brought progress to a halt, leaving only the fab’s structural framework completed. With the construction of Dalian Fab 2, SK hynix is pursuing a two-track NAND production and sales strategy. The company plans to manufacture lower-layer NAND based on mature technology in Dalian while concentrating production of advanced, high-layer-count NAND in Cheongju. Dalian is expected to focus on improving productivity for 100-layer-class NAND based on Intel’s mature floating-gate architecture, while production of NAND with more than 300 layers is expected to be concentrated at domestic facilities such as the M17 fab in Cheongju. The company previously announced that it would invest KRW 19.1 trillion in the Cheongju M17 fab, with plans to open its first cleanroom by the end of 2028 and manufacture next-generation NAND products there. “Dalian Fab 2 is planned to use the same equipment configuration as Fab 1,” an industry source said. “My understanding is that it will have monthly wafer input capacity of between 40,000 and 60,000 wafers.”