Chinese memory chipmaker CXMT is reportedly considering building a second memory fab in Beijing, according to a Reuters report cited by both Wccftech and TechPowerUp. The talks are described as being in early stages, with CXMT said to be seeking backing from the Beijing Economic-Technological Development Area and local government support to help fund the project.
The move comes as CXMT is flush with cash from a record-setting IPO, per Wccftech, and as the company faces high demand for its memory products, according to TechPowerUp. TechPowerUp notes that building a modern DRAM fab can cost more than $10 billion, meaning CXMT would need to secure significant funding to proceed.
CXMT currently operates two 12-inch fabs, one in Hefei and one in Beijing, each producing roughly 100,000 wafers per month for a combined output of about 200,000 WPM, TechPowerUp reports. The outlet adds that CXMT plans to roughly triple that capacity to around 600,000 WPM once its Shanghai and Hefei plants are completed, and that the company is expected to reach about 350,000 WPM by the end of 2026 — just behind Micron's reported 375,000 WPM. TechPowerUp also notes CXMT has been building cleanrooms in about 12 months, compared with the roughly two years typical for the rest of the industry.
Wccftech frames the expansion within reports that CXMT is progressing on LPDDR6 memory chips and is aiming to capitalize on a market gap left as Samsung and Micron prioritize high-bandwidth memory (HBM) for AI data centers. The outlet also notes that Apple has reportedly shown interest in buying CXMT's chips amid a global memory shortage that has driven up prices and strained its supply chain.
At the same time, Wccftech points out that CXMT's ability to serve the global market is limited, since it must primarily meet demand from China's domestic market under U.S. sanctions restricting access to high-end chips and manufacturing equipment. TechPowerUp similarly indicates that CXMT's added capacity is likely to be mostly absorbed by Chinese hyperscalers and AI labs rather than the broader global supply chain, suggesting the two reports align on CXMT's expansion being driven largely by domestic Chinese demand even as it targets openings in the global memory market.