Hui Silicon Industry’s global expansion strategy takes shape; nearly 3 billion yuan invested to accelerate the expansion of 200mm specialty silicon wafer production.

Shanghai Silicon Industry Group Co., Ltd. (Shanghai Silicon Industry, 688126.SH), in order to accelerate the implementation of its long-term development strategy and seize the opportunities presented by the semiconductor industry’s growth, is continuously expanding its production capacity for 200mm semiconductor silicon wafers used in integrated circuits, thereby enhancing its global market share and competitive edge. To this end, the company’s wholly-owned subsidiary, Finnish Okmetic, will invest approximately €388 million (equivalent to roughly RMB 2.95 billion) to build a new plant adjacent to its existing wafer fab in Vantaa, Finland. Upon completion of the project, Okmetic will add an annual production capacity of 3.132 million 200mm semiconductor polished wafers, further solidifying its position—and that of the entire Silicon Industry Group—in high-end niche markets such as advanced sensors, power devices, RF filters, and integrated passive components.

Okmetic was founded in 1985 and was originally a publicly listed company in Finland. In 2016, Hu Silicon Industry completed a privatization acquisition of Okmetic, making it a wholly-owned subsidiary. Over its nearly 40-year history, Okmetic has focused on providing advanced, customized silicon wafers tailored to meet the manufacturing needs of applications such as MEMS and sensors, radio frequency devices, and power products. The company has accumulated mature process technologies and possesses core, proprietary key technologies with independent intellectual property rights. Its distinctive process capabilities, geared toward the growing high-end niche markets, form an important foundation for Okmetic’s global leadership in its target sectors and also provide the technological assurance needed for further development of its 200mm specialty silicon wafer business. The investment in building new factory capacity represents Okmetic’s largest-ever capital expenditure, marking the beginning of a new chapter in Okmetic’s history as a supplier of high-value-added silicon wafers in rapidly growing industries.

According to SEMI’s forecast, by 2024, global capacity for 200mm wafer fabs will increase by 17% compared to 2020, reaching a historic high of 6.6 million wafers per month. During the same period, 22 new 200mm wafer fabrication plants will be added worldwide to meet the growing demand for 5G, automotive electronics, and Internet of Things (IoT) devices.

Against this backdrop, while deploying its 300mm semiconductor business, Hu Silicon Industry will remain closely aligned with market demands, leveraging its own resources and Okmetic’s strong position in the aforementioned high-end niche markets to seize current market opportunities and accelerate the expansion of its 200mm specialty silicon wafer production. Through this investment, Hu Silicon Industry will increase its production capacity for 200mm semiconductor polished wafers targeted at high-end sensor, RF, and power applications, which will help further enhance its market share in niche segments such as 5G, automotive electronics, and the Internet of Things (IoT), and consolidate its competitive edge.

Hushi Industry’s development goal is to become a “one-stop” silicon materials supplier. After years of growth, its product portfolio now includes polished wafers, epitaxial wafers, and SOI silicon wafers. The company has also begun expanding into other semiconductor material fields, such as piezoelectric thin-film materials and photomask materials, while simultaneously focusing on the localization of upstream and downstream segments of the industry chain. The subsidiary Okmetic, which is undergoing this capital increase and expansion, primarily operates in Europe, whereas its subsidiaries Xinao Technology, Shanghai Xinsheng, and Xin Silicon Polymer mainly operate in mainland China. Hushi Industry has now achieved a relatively comprehensive global presence, with supply chains and customers spanning across the globe, making it one of the most internationally oriented companies in China’s semiconductor industry.
On May 10, Shanghai Silicon Industry Group Co., Ltd. issued an announcement stating that it plans to invest in and build a 200mm (8-inch) specialty silicon wafer expansion project in Vantaa, Finland, with its wholly-owned subsidiary Okmetic Finland serving as the project implementation entity. The total estimated investment is approximately €388 million (equivalent to roughly RMB 2.95 billion).

Key words: