Samsung's Xi'an factory is upgrading its technology, SK Hynix is increasing production capacity at two major factories, and South Korea's chip giant is ramping up investment in China.

date
01/04/2026
"South Korean chip giants increase investment in China to address memory shortage issue in the field of artificial intelligence." The Korean Times reported on March 30 with this headline, stating that the latest report data shows that South Korea's two chip giants, Samsung Electronics and SK Hynix, will continue to increase their investment in Chinese factories by 2025. This dynamic strategic layout is a direct response to the current shortage in the global memory chip market and highlights China's key position in the global semiconductor supply chain system. According to investment data, both companies are showing significant growth in their investments in China by 2025. According to the Korean Times citing annual reports submitted by the two companies to the Korean Financial Supervisory Service, in 2025 Samsung Electronics will invest 4.654 trillion Korean won in its chip factory in Xi'an, Shaanxi, representing a 67.5% increase from the previous year. SK Hynix will invest 5.811 trillion Korean won in its factories in Wuxi, Jiangsu, representing a 102% increase, and invest 4.406 trillion Korean won in its factory in Dalian, Liaoning, a 52% increase from 2024. The report states that as demand for AI computing continues to rise and memory chip supply tightens, South Korean companies are accelerating production capacity. In terms of investment pace, this round of expansion has obvious recovery and expansion features.