Xinlian-Integration-plans-to-c

On the evening of June 11, Xinlian Integrated Circuit Manufacturing Co., Ltd. (688469.SH, referred to as "Xinlian Integrated") announced that it plans to cooperate with the Shaoxing Area Management Committee of Shaoxing Hangshao Linkong Economic Integrated Development Demonstration Zone (referred to as "Hangshao Linkong") to jointly operate Xinlian Advanced Integrated Circuit Manufacturing (Shaoxing) Co., Ltd. (referred to as "Xinlian Advanced") as a company 12 The implementation entity of the 12-inch automotive-grade digital-analog hybrid chip manufacturing project (Phase 4 project) is building a 12-inch automotive-grade digital-analog hybrid chip production line with a monthly production capacity of 50,000 pieces, with a total investment of approximately 20 billion yuan.

According to the announcement, the project focuses on four core technologies and product directions: 40/28nm MCU/DSP chips, 90/55nm BCD/DrMOS and other analog circuits, and 55nm silicon light/laser driver chips, covering core areas such as smart cars, industrial automation, AIoT, and data center optical interconnection. In terms of funding, the project capital is 12 billion yuan, of which Xinlian Integration plans to invest 3.012 billion yuan, Hangshao Airport and other consortiums plan to invest 3 billion yuan, market-based funds plan to invest 5.988 billion yuan, and the remaining 8 billion yuan will be solved through bank loans. After the completion of this investment, Xinlian Integration’s shareholding ratio in Xinlian Advanced will be reduced from 100% to 25.1%.

Cinlink Integration’s existing 12-inch wafer production line has achieved a monthly production capacity of 30,000 wafers, focusing on high-voltage analog IC, MCU, IGBT and other products, which are widely used in automotive, industrial control, consumer and AI fields. The company's expansion is due to the continued tightness of production capacity. It recently replied on the interactive platform that the current production capacity utilization rate remains high and cannot fully match the strong demand from downstream customers.

In the face of changes in the supply and demand pattern, Xinlian Integration has launched a product price adjustment strategy. The company revealed that it has implemented a price increase for MOSFET products in the first quarter of 2026; the price of IGBT products has stabilized since the fourth quarter of 2025, and demand has rebounded significantly in the first quarter of this year. Supply and demand are obviously tightening, or supply exceeds demand. The company will continue to pay close attention to market dynamics and flexibly adjust its business strategies.

Financial data shows that Xinlian Integration will achieve steady growth in 2025, with annual revenue of 8.18 billion yuan, a year-on-year increase of 25.67%; annual wafer output is 2.5127 million pieces (equivalent to 8 inches), a year-on-year increase of 24.68%, and the production and sales rate is as high as 99.62%. In terms of business structure, the automotive field contributed 45.43% of revenue, making it the largest revenue pillar. Its products have covered more than 90% of domestic new energy vehicle companies; high-end consumption, industrial control, and AI businesses accounted for 28.09%, 18.46%, and 8.02% respectively, and the collaborative development trend is good.

Xinlian Integration stated that the implementation of this 20 billion yuan project will further improve the company's semiconductor industry chain layout, strengthen its manufacturing advantages in the fields of automotive-grade simulation, power and silicon photonic chips, and consolidate the industry's core competitiveness. At the same time, it will benefit deeply from the explosion of dividends in the new energy vehicle and AI industries, helping the company accelerate its progress towards the goal of "10 billion revenue and comprehensive profitability."