China’s CXMT and YMTC to memory output — two new fabs could close the gap with the ‘big three’

China's memory manufacturers, CXMT and YMTC, are expanding their DRAM and NAND production to compete with industry giants Samsung, SK hynix, and Micron. CXMT is building a new DRAM facility in Shanghai, while YMTC is constructing a fab in Wuhan, with a significant portion dedicated to DRAM production. The focus on HBM for AI accelerators by the big three has led to a shortage of conventional DRAM, prompting Chinese firms to fill the gap. Despite export restrictions, Chinese companies are making progress in memory technology, potentially impacting global supply dynamics. While Chinese expansion may not immediately threaten high-end HBM production, it could disrupt the DRAM market and reduce China's reliance on imports.