SK Hynix's memory business in China faces numerous uncertainties due to the ongoing US-China conflict. Chief Production Officer (CPO) Young-Sik Kim will reportedly lead the Wuxi fab in response to tariffs and sanctions following the inauguration of Trump's new administration.
The Guru cited information from Tianyancha, revealing that SK Hynix appointed Kim as the director of its Wuxi company on January 24, 2025. This position was previously held by SK Hynix president Noh-Jung Kwak.
The Wuxi fab is SK Hynix's largest DRAM production site, accounting for 40% of its total DRAM output. 2025 also marks the 20th anniversary of SK Hynix Semiconductor China.
Industry insiders note that while SK Hynix currently enjoys exemptions regarding export controls for its factories in China, it cannot import high-bandwidth memory production equipment into China, which is critical in the AI era. Additionally, the increase in advanced semiconductor production must not exceed 5%, while general semiconductors are capped at 10%.
In anticipation of additional sanctions, SK Hynix is reevaluating its operations in China. If producing advanced semiconductors becomes impossible within the country, a business restructuring will be necessary. Some believe that Kim's contributions to semiconductor manufacturing make him an excellent choice for future leadership.
Furthermore, according to Chinese media reports, Kwak visited Wuxi on January 24, 2025, for inspections and discussions with Wuxi's Party Secretary Xiaogang Du.
Kwak introduced the current status of SK Hynix's business development in China and stressed the importance of the Wuxi operation, stating that the city's semiconductor industry is robust and well-established. He expressed confidence and determination in SK Hynix's continued growth in Wuxi, built on two decades of cooperation and deep friendship.