"Light" and "Chip" soar together, the Semiconductor Equipment ETF China Merchants (561980) rises over 4.5%, LION and NINGBO KANGQIANG hit the limit up!

On June 3rd, the market for semiconductor devices and storage chips surged again! As of 11:05, the Semiconductor Equipment ETF China Merchants (561980) rose by 4.51% during trading, with major stocks like Cambricon rising over 6.7%, Tuojing Technology and Changchuan Technology rising over 5%, and Zhongwei Company, SMIC, Haiguang Information, and Northern Huachuang rising over 3%. LION and NINGBO KANGQIANG hit the daily limit!

In news, on June 2nd, the chairman of SK Group stated that SK Hynix plans to double its wafer production capacity within five years. Additionally, storage manufacturer Kioxia indicated that ultra-large-scale data centers are seeking to sign NAND contracts covering 2029 and beyond.

Goldman Sachs stated on the same day that as the market prepares for an unprecedented wave of financing for giant artificial intelligence (AI) companies, investors have decisively shifted to a "greed" mode, with AI giants like OpenAI, Anthropic, and SpaceX potentially going public with trillion-dollar valuations.

Domestically, on May 27th, the Shanghai Stock Exchange's listing committee approved Changxin Technology's Sci-Tech Innovation Board IPO application. According to Huaxi Securities, it took only 148 days from acceptance to successful approval for Changxin Technology, which plans to raise 29.5 billion yuan, making it the largest A-share IPO project since 2026 and one of the largest semiconductor IPO projects in the history of the Sci-Tech Innovation Board. Additionally, Kunlun Core and China's 3D NAND flash memory giant Yangtze Memory are currently advancing their respective IPO plans.

According to Huafu Securities, storage devices are a crucial part of AI infrastructure. The explosive demand for AI computing power is driving both volume and price increases in the storage industry chain, initiating an expansion cycle with equipment demand leading the way. The storage equipment sector is experiencing a dual resonance of industry expansion β + domestic substitution α, with core equipment segments expected to see a dual explosion in orders and performance. The storage industry is expected to remain in short supply until 2027, with dual drivers of storage expansion + domestic substitution, leading to a high prosperity period for equipment materials, and industry chain companies are likely to continue high growth.

Industrial Securities pointed out that in April 2025, DRAM spot prices experienced fluctuations, while NAND Flash prices rose significantly. According to data from Chinese customs, in April 2026, China's integrated circuit import value was $53.87 billion, a year-on-year increase of 54.8%, while export value was $31.08 billion, a year-on-year increase of 100.1%, indicating that the process of self-control is accelerating.

Overseas, according to China Merchants Electronics, Samsung, Hynix, Micron, etc., achieved record-breaking revenue and gross margins in Q1 2026, with all manufacturers actively promoting multi-year strategic agreements with customers, among which Micron successfully signed its first five-year SCA agreement. The institution believes that multi-year agreements will continue to strengthen performance visibility, and supply-demand tightness is expected to persist until 2027 or even longer China Merchants Securities believes that the storage industry is shifting from a price cycle-driven model to a dual-driven model of "long-term contracts + stable capital expenditures." The advanced logic and expansion of storage production lines in China are expected to accelerate, with continuous breakthroughs in domestic equipment technology levels and an ongoing increase in the localization rate. The growth trend of orders for advanced packaging equipment in both the front-end and back-end is clear.

According to data from the China Securities Index official website, the Semiconductor Equipment ETF China Merchants (561980) tracks the China Securities Semiconductor Index, with 80% of its portfolio allocated to equipment and materials, and 20% allocated to CPU/GPU and advanced manufacturing: the "Changxin Storage" concept accounts for as much as 53%, with Northern Huachuang + Zhongwei Company accounting for a total of 27%, Cambrian + Haiguang Information accounting for a total of 15%, and SMIC 6%. The top ten holdings have a concentration of up to 77%, which is expected to benefit from both Moore's Law, the expansion of the two storage sectors, and the process of domestic substitution.

Data shows that as of June 2, the China Securities Semiconductor Index has risen over 385% since 2020, with a nearly one-year increase of 141%. Whether in terms of medium to long-term performance or short-term performance, it ranks first among similar indices in the sci-tech chip and semiconductor materials and equipment sectors.