Log in
Log in
Or log in with
GoogleGoogle
Twitter Twitter
Facebook Facebook
Apple Apple     
Sign up
Or log in with
GoogleGoogle
Twitter Twitter
Facebook Facebook
Apple Apple     

SEMICONDUCTOR MANUFACTURING INTERNATIONAL CORPORATION

(981)
  Report
Delayed Hong Kong Stock Exchange  -  10:08 2022-10-04 pm EDT
16.62 HKD   +2.97%
09/22New China ETFs test investor appetite amid Sino-U.S. tech war, market rout
RE
09/06Semiconductor Manufacturing International Corporation commences an Equity Buyback Plan for 791,003,043 shares, representing 10% of its issued share capital, under the authorization approved on June 24, 2022.
CI
09/01Explainer-Biden's curbs on chips to China part of broader effort
RE
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisionsFunds 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

SK Hynix to break ground on new U.S. chip packaging plant early next year -sources

08/12/2022 | 01:01am EDT

WASHINGTON, Aug 11 (Reuters) - South Korea's SK Hynix aims to select a U.S. site for its advanced chip packaging plant and break ground there around the first quarter of next year, two people familiar with the matter said, helping the United States to compete as China pours money into the burgeoning sector.

The plant, whose estimated cost would be "several billions," would ramp up to mass production by 2025-2026 and employ about 1,000 workers, one of the sources said, declining to be named because details about the plant have not been made public.

It would likely be located near a university with engineering talent, the person said.

The company is "hoping to make a selection of the site and break ground somewhere around the first quarter of next year," one of the people said.

SK Group, South Korea's second-biggest conglomerate, owns memory chipmaker SK Hynix and announced the new plant last month as part of a $22 billion U.S.-based investment package in semiconductors, green energy and bioscience projects.

The announcement, heralded by the White House, said $15 billion would be allocated to the semiconductor industry through research and development programs, materials, and the creation of an advanced packaging and testing facility.

"R&D investments will include building out a nationwide network of R&D partnerships and facilities," the source said, adding that the packaging facility would package SK Hynix's memory chips with logic chips designed by other U.S. companies for machine learning and artificial intelligence applications.

The company, following the Reuters story about the timing of the groundbreaking, confirmed it plans to select a site for the plant in the first half of next year but said no decision has been made on when to begin construction.

The United States long ago ceded most basic, low value chip packaging operations to overseas factories mostly in Asia, where chips are placed into protective frames which are then tested before being shipped to electronics manufacturers.

But fresh battle lines are being drawn in the race to develop advanced packaging techniques, which involve placing different chips with different functions into a single package, enhancing overall capabilities and limiting the added cost of more advanced chips.

"While the United States and its partners have advanced packaging capabilities, China's massive investments in advanced packaging threaten to upend the market in the future," the White House said in a 2021 report.

An executive at China's top chipmaker SMIC, which was added to a U.S. trade blacklist in 2020, said last year Chinese companies should focus on advanced packaging to overcome their weaknesses in developing more sophisticated chips, according to the report.

SK Group's move comes after Biden signed into law the CHIPS Act this week, providing $52 billion in subsidies for chip manufacturing and research, as well as an estimated $24 billion investment tax credit for chip plants. The sources said the R&D facilities and the chip packaging plant would both qualify for the funding.

There has been a flurry of expansion plans announced by chipmakers in the United States in recent years, from Taiwan Semiconductor Manufacturing Co to Samsung Electronics and Intel. (Reporting by Alexandra Alper; Additional reporting by Karen Freifeld; Editing by Chris Sanders, Alexandra Hudson and Tom Hogue)


© Reuters 2022
Stocks mentioned in the article
ChangeLast1st jan.
INTEL CORPORATION 2.71% 27.7 Delayed Quote.-47.63%
SAMSUNG ELECTRONICS CO., LTD. 3.95% 55200 End-of-day quote.-29.50%
SEMICONDUCTOR MANUFACTURING INTERNATIONAL CORPORATION 2.97% 16.62 Delayed Quote.-13.50%
SK HYNIX INC. 3.73% 86200 End-of-day quote.-34.20%
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED 2.88% 429 End-of-day quote.-30.24%
All news about SEMICONDUCTOR MANUFACTURING INTERNATIONAL CORPORATION
09/22New China ETFs test investor appetite amid Sino-U.S. tech war, market rout
RE
09/06Semiconductor Manufacturing International Corporation commences an Equity Buyback Plan ..
CI
09/01Explainer-Biden's curbs on chips to China part of broader effort
RE
08/28SMIC to Build New $7.5 Billion Factory in China's Tianjin City
MT
08/27Chinese chip foundry SMIC to invest $7.5 bln in new fab in Tianjin
RE
08/26Chinese chip foundry SMIC to invest $7.5 billion in Tianjin
RE
08/15Former TSMC Top Executive "Regrets" Working for SMIC
MT
08/15Hong Kong Hang Seng Down 0.7% on Economic Growth, Pandemic Outlooks
MT
08/15Nomura Adjusts Semiconductor Manufacturing International's Price Target to HK$20 From H..
MT
08/12Hong Kong Hang Seng Up 0.5% As Property and Tech Sectors Edge Higher
MT
More news
Analyst Recommendations on SEMICONDUCTOR MANUFACTURING INTERNATIONAL CORPORATION
More recommendations
Financials (USD)
Sales 2022 7 554 M - -
Net income 2022 1 899 M - -
Net cash 2022 183 M - -
P/E ratio 2022 8,71x
Yield 2022 -
Capitalization 22 636 M 22 636 M -
EV / Sales 2022 2,97x
EV / Sales 2023 2,89x
Nbr of Employees 19 417
Free-Float 82,5%
Chart SEMICONDUCTOR MANUFACTURING INTERNATIONAL CORPORATION
Duration : Period :
Semiconductor Manufacturing International Corporation Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends SEMICONDUCTOR MANUFACTURING INTERNATIONAL CORPORATION
Short TermMid-TermLong Term
TrendsBullishNeutralBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 24
Last Close Price 2,06 $
Average target price 2,65 $
Spread / Average Target 29,0%
EPS Revisions
Managers and Directors
Hai Jun Zhao Co-Chief Executive Officer
Meng Song Liang Co-Chief Executive Officer
Yong Gang Gao Chairman & Chief Financial Officer
Xin Zhang Senior Vice President-Operations & Engineering
Mei Fung Hoo Joint Secretary & Compliance Officer
Sector and Competitors