According to Taiwan Media Central News Agency, today, Xu Xiulan, chairman of the semiconductor silicon wafer factory Universal Crystal, said that the long-term demand growth trend for semiconductors will remain unchanged, and Universal Crystal will maintain the established expansion plan. It is expected to announce before the end of June. New factory location.
In response to the rumors that Samsung notified suppliers to suspend the purchase of goods until the end of July, Xu Xiulan said that Universal Crystal was not affected, and was also asked to make up for the previously missing goods. Xu Xiulan pointed out that the demand for 12-inch wafers is strong, and customer orders are quite stable. At present, the long-term contract price continues to rise, and the price is expected to rise next year and the year after.
Taiwan media pointed out that Global Crystal held a shareholder’s meeting today. Xu Xiulan said in an interview that inflation has affected some terminal demand, and silicon wafer factories continue to actively expand production. The market is worried that with the opening of new production capacity in the future, silicon wafers may become oversupplied.
If the silicon wafer market turns into oversupply, it will only have a short-term impact, because the long-term demand for semiconductors is expected to grow significantly. As long as customers have demand and make commitments, Universal Crystal will continue to expand production.
According to reports, Universal Crystal will maintain the established expansion plan, but due to the lack of labor, rising construction costs and prolonged equipment delivery, some of the expansion progress may be delayed in the first quarter. Equipment for the new plant has been pre-ordered, and the location will be finalized by the end of June.
As for the location of the factory, Xu Xiulan revealed that the new factory location originally took Singapore into consideration, but due to the relatively high construction cost and the incompatibility of the local market with the target customers, Singapore has been excluded at present. In addition, Japan is actively developing the semiconductor industry, but Universal Crystal already has a factory in Japan and has no plans to build a new factory.
Government subsidy is one of the key factors in evaluating the location of a new factory, but it is not the only one. It should examine the situation of new customers and hope to supply customers nearby.
Xu Xiulan also said that if the customer signs a long-term contract, pays in advance, and pre-sells at least 80% of the production capacity, Universal Crystal will build a new factory, and this policy will not change. The 2022-2024 capital expenditure plan of NT$100 billion (approximately RMB 22.6 billion) remains unchanged.
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