The main structure of the Xi'an ESWIN Wuhan base project has been fully capped, and the first batch of production capacity is expected to be put into operation in the first half of 2027

On May 24th, Xi'an Yicai (688783.SH) welcomed new progress in the construction of its third factory at the Wuhan base. With the final concrete pour, the main structure of the project has been fully capped, marking a significant transition from blueprint planning to real-world implementation, laying a solid foundation for the development of the domestic semiconductor silicon material industry.

Xi'an Yicai focuses on the research, manufacturing, and sales of 12-inch silicon wafers, being the only domestic manufacturer dedicated to this field. Currently, its 12-inch polished wafers and epitaxial wafers have reached first-class levels in China, with core parameters approaching those of international giants. In particular, the product's core indicators such as crystal defect density, warpage, flatness, cleanliness, and the morphology and electrical performance of epitaxial layers are on par with the top five manufacturers globally.

Post-expansion capacity is expected to double, with market share entering the global top three

According to reports, the project is located in the Future City Science Island of the East Lake High-tech Zone in Wuhan, with a total investment of approximately 12.5 billion yuan and a building area of 190,000 square meters. This project is not only a core layout for Xi'an Yicai to enhance production capacity and achieve strategic goals but also a key benchmark project in the semiconductor silicon material field in Hubei Province. It will further assist the region in building a complete semiconductor industry ecosystem that promotes the coordinated development of "chip design, wafer manufacturing, and supporting materials."

According to the plan, once the project is completed and reaches full production capacity, it will have a monthly production capacity of 600,000 12-inch electronic-grade silicon wafers. The related products can be widely applied in mainstream chip fields such as high-performance memory chips, advanced logic chips, and high-end image sensors, matching the rapidly developing market demand and further enhancing China's supply capacity for high-end semiconductor silicon wafers.

At the topping ceremony, a company representative revealed that the project will achieve the first batch of equipment relocation in the fourth quarter of 2026, with the first batch of production capacity expected to be put into operation in the first half of 2027, and full production capacity anticipated by 2030.

By the end of 2025, Xi'an Yicai's total production capacity will exceed 850,000 wafers per month, with an annual shipment volume giving it a global market share of approximately 6.8%, ranking first in China and sixth globally in the 12-inch silicon wafer field. According to estimates, once full production capacity is reached, the company's capacity will increase to over 1.8 million wafers per month, with a global market share reaching 13%, likely ranking first in China and among the top three globally.

Xi'an Yicai stated that the third factory is a key strategic layout for the company in Central China. The next step will accelerate the preparation work for electromechanical installation, equipment debugging, and other tasks, fully promoting product sampling and large-scale mass production, thereby accelerating the upgrade of the domestic semiconductor silicon material industry and injecting strong momentum for the industry's independent and stable development.

Benefiting from AI demand-driven growth, Chinese silicon wafer companies have great potential

Currently, the 12-inch silicon wafer market is showing strong and structured growth. Driven by explosive growth in AI, data centers, and other fields, the demand for advanced process chips has surged, strongly boosting the demand for 12-inch silicon wafers. According to SEMI's forecast, the number of global 12-inch production wafer fabs is expected to reach 215 by 2026, with mainland China accounting for 70 of them; by 2028, the global monthly production capacity of 12-inch wafers will rise to 11.1 million, setting a new historical high. The industry's demand continues to expand, and as a core substrate material, 12-inch silicon wafers have enormous market development potential CITIC Securities' research report also pointed out that the semiconductor silicon wafer industry is entering an upward cycle driven by AI demand, and is optimistic about the long-term growth potential of Chinese silicon wafer companies.

In this context, ESWIN will undoubtedly benefit significantly. According to the company's 2025 annual report, it is not only the largest or second-largest supplier among global 12-inch silicon wafer manufacturers for leading domestic memory chip manufacturers such as Changxin Memory and Yangtze Memory, but also the largest or second-largest supplier among mainland China's 12-inch silicon wafer suppliers for leading wafer foundries. The company continues to supply in bulk to overseas clients such as TSMC, Micron Technology, Kioxia, and GlobalFoundries. By the end of 2025, the company had a total of 168 verified customers and 121 verified products, and achieved supply of test wafers to Samsung Electronics and Toshiba in 2025, further enhancing its penetration in the global supply chain.

With the increase in production capacity and continuous expansion of domestic and international markets, ESWIN's product sales and operating revenue have continued to grow in recent years. In 2025, the company achieved a production volume of 8.5902 million wafers, a year-on-year increase of 33.55%, and sales of 8.0737 million wafers, a year-on-year increase of 29.08%; it achieved revenue of 2.649 billion yuan, a year-on-year increase of 24.88%, with a compound annual growth rate of 35.93% over the past three years. Industry insiders indicate that with the gradual release of new production capacity, continuous breakthroughs in customer validation, and the strengthening of domestic supply chain collaboration capabilities, ESWIN is expected to further enhance its global market share, solidify its leading position domestically, and occupy a more important position in the 12-inch electronic-grade silicon wafer field, providing stronger support for the high-quality development of China's integrated circuit industry