Chinese semiconductor industry

Electronic Enthusiast Network Report (article/Liu Jing) Recently, the IPO of Beijing Jingyi Jingwei Technology Co., Ltd. (hereinafter referred to as: Jingyi Jingwei) Science and Technology Innovation Board was accepted by the Shanghai Stock Exchange, and the sponsor was CITIC Securities.
Jingyi Jingwei was established in 2019. It was formerly known as the CMP Division of the Forty-five Institute. As early as 2017, the CMP Division of the Forty-five Institute developed the first 8-inch CMP equipment with independent intellectual property rights in China. With profound accumulation, it is the only equipment supplier in China that realizes overseas batch sales of 8-inch CMP equipment. At present, Jingyi Jingwei mainly provides 8-inch, 12-inch and 6/8-inch compatible CMP equipment for integrated circuit manufacturers. During the reporting period, its 12-inch CMP equipment has not yet sold revenue, but 12-inch CMP equipment has been used in the international mainstream of 28nm process. The integrated circuit production line completed process verification.This time, Jingyi Jingwei sprints for the IPO of the Science and Technology Innovation Board, and plans to issue no more than 71.3406 million shares to the public, raising 1.6 billion yuan of funds, which will be used for high-end semiconductor equipment research and development projects, high-end semiconductor equipment process improvement and industrialization projects. It is worth mentioning that when the Chuangguan Sci-Tech Innovation Board IPO was launched, Jingyi Jingwei was the defendant, and there were still two pending lawsuits related to the intellectual property rights of CMP equipment with Hangzhou Zhongsi.Forty-five Institute is the controlling shareholder of Jingyiwei, and China Electric Technology Group is the actual controller of Jingyiwei. It is worth mentioning that the second phase of the large fund with a scale of over 200 billion is also one of Jingyijingwei’s shareholders, holding 2.73% of the shares.​

The chips of mobile phones, computers, automobiles and other products are inseparable from semiconductors. Wafers are like the mother body of semiconductors. The precision of their manufacturing will directly affect the performance of semiconductor chips. As a processing tool, laser plays a vital role in ensuring the performance of semiconductor chips.
Huang Wei said that the thermal impact and edge chipping width of mechanical cutting is about 20 microns, and that of traditional laser is about 10 microns; in addition, the reduction of cutting line width means that wafers can achieve higher integration, which makes semiconductor manufacturing more efficient. Economical and more efficient.
Since last year, Huang Wei's team has carried out iterative upgrades and breakthroughs in micro-nano laser processing for semiconductor wafer cutting technology. stop."
After a year of hard work, the semiconductor wafer dicing technology has been successfully upgraded, the thermal impact has been reduced to 0, the edge chipping size has been reduced to less than 5 microns, and the cutting line width can be achieved within 10 microns.
According to the concept of producing one generation, developing one generation, and reserve one generation, Huagong Laser is developing the third-generation semiconductor wafer laser modification and cutting equipment with industry-leading level. It plans to launch new products in July this year, and is also developing my country's independent intellectual property rights. The third generation semiconductor wafer laser annealing equipment.

"Development is endless, and breakthroughs are endless." Huang Wei said that the application of laser technology has no boundaries, and there are many unknown areas that need to be explored boldly. "We are confident that China's laser equipment will reach Internationally leading level."
​

Domestic Demand

While international presence was smaller in proportion to the overall attendees, the expo saw a significant surge in local emerging equipment, material, and manufacturing ecosystem suppliers. Industry insiders noted an encouraging trend: the rise of local players carving a niche for themselves amidst global competition.
A recurring theme throughout the conference was the continued strength of domestic equipment demand. Manufacturers are fervently supporting new fabs and localization efforts, a promising indicator of sustained growth. Commentary coming from the event, has highlighted that the supply chain is still resilient, working diligently to overcome extended lead times, especially in ramping up 2.5D/CoWoS style chip capabilities.
However, the optimism surrounding equipment demand was tempered by a more-muted outlook for fab loadings and the back-end of the logic and memory market in the second half of the year. This reflects a broader concern about the high inventory levels and the restrictions on memory.
One of the expo's most notable takeaways was the local tester suppliers gaining traction in power and logic/analog integrated circuits. This development underscores the growth of indigenous innovation and reflects China's continued push to become more self-reliant in semiconductor technology.
Amid the multitude of companies making their presence felt, Naura Technology (CN:002371), a significant player in the semiconductor industry, stood out for its wide equipment portfolio and the benefits it stands to reap from robust demand and increasing localization efforts. The stock is the second-biggest holding in the Global X China Semiconductor ETF portfolio, at 7.97%
Another highlight of the event was from Hua Hong (HK:1347), which is on track for its A-Share listing in early August. This listing is expected to stabilize the business and drive recovery in the second half of 2023, buoyed by its strengths in IGBT/discretes. This progress is impressive, especially considering the industry slowdown in the preceding quarter.