SK hynix to Boost NAND Flash Production in China by 50% in 2027

SK hynix is reportedly continuing to invest capital, human resources, and strategic planning into its NAND Flash fab in China. According to recent reports, SK hynix plans to increase production at its plant in Dalian, China, by 50% in 2027 to meet the rising demand for NAND Flash. This fab is owned and operated by its NAND subsidiary, Solidigm, which is finally resuming expansion in mainland China after a four-year project freeze. In 2021, when SK hynix acquired Intel's 3D NAND and SSD business, it formed Solidigm to focus on this area of production. However, export controls and a downturn in the NAND Flash market halted any expansion plans that Solidigm and SK hynix had in China, effectively stopping strategic planning from the headquarters.

Currently, Solidigm produces about 100,000 wafers per month of NAND Flash, so a 50% increase in 2027 would raise production to approximately 150,000 wafers per month. Solidigm will also begin producing its floating gate 3D QLC NAND Flash, which will feature over 200 active storage layers per chip. This advancement will enable multi-terabyte SSDs for enterprise use, which is currently the primary consumer of these solutions. With global NAND Flash production expected to finally balance with demand in 2027, this introduction will be a welcome addition, though it represents just a small fraction of the global NAND Flash demand.