CXMT Like a Train: Nearly Reaching Micron's Capacity and Completing Factories in Half the Time

CXMT continues to accelerate the expansion of its production capacity and, according to Citrini Research analyses, could reach a production of approximately 350,000 DRAM wafers per month by the end of 2026, a level very close to the 375,000 monthly wafers attributed to Micron during the same period. This figure is particularly significant considering that the Chinese company represents a relatively recent entry into the memory sector, initially established to meet domestic demand in China.

One of the most notable aspects is the speed at which CXMT constructs its "clean rooms," the controlled environments intended for semiconductor production. According to the report, the company completes these facilities in about 12 months, while much of the DRAM memory industry typically takes 21-24 months. This difference allows the company to increase production capacity in significantly shorter timeframes compared to competitors.

Moreover, the expansion is proceeding despite restrictions imposed by the United States. CXMT cannot access the most modern EUV lithography systems, as it is listed among the companies on the U.S. blacklist that prevents it from importing these advanced technologies. The company is therefore using earlier generation DUV machinery and resorting to multi-patterning techniques to compensate for the absence of EUV lithography. Despite these constraints, the expected production of DRAM wafers is approaching that of one of the three largest global manufacturers in the sector.

Also, significant technological advancements are emerging. At the beginning of the year, CXMT started shipping 16 Gb DDR5 chips capable of reaching 8,000 MT/s. The chips occupy an area of 67 mm² and present a density of 0.239 Gb/mm². The new G4 DRAM cells are also 20% smaller than the previous G3 generation, following the transition from the production nodes of 23 nm (G1) and 18 nm (G2).

At the same time, the company has initiated mass production of 24 Gb modules, which operate at speeds around 6,000 MT/s. Production of LPDDR5X-10667 is also ongoing, available in 12 Gb and 16 Gb capacities, primarily aimed at devices that require high energy efficiency and wide bandwidth. A significant portion of the demand clearly stems from the artificial intelligence sector, which continues to drive the request for increasingly high-performance memories.

The report finally highlights that the Chinese government has invited CXMT to share part of its DRAM intellectual property with other national manufacturers, including JHICC, Swaysure, and XMC, the latter a subsidiary of YTMC. The goal is to strengthen domestic memory production and address any potential shortages in the domestic market before the international expansion of DRAMs designed in China.

Naturally, this expansion will open new markets, and almost certainly, Europe will be among the first. Subsequently, despite the restrictions, it is possible that CXMT may also reach the United States as it could remain competitive even with the application of tariffs for the reasons mentioned above.