SK Hynix Links Dalian Chip Tool Approval to Solidigm US NAND Factory
Solidigm seeks US approval for chip equipment exports to SK Hynix's Dalian plant as it weighs a New York NAND factory and a $10 billion 2027 IPO plan.
Summary
SK Hynix’s flash memory unit Solidigm is seeking US approval to install American chipmaking equipment in spare space at the company’s Dalian, China, factory to increase NAND output, making approval a condition for continuing work on a US semiconductor factory. Solidigm is considering upstate New York for the plant. SK Hynix says it is not expanding capacity at Dalian Mod B, completed in 2023, and that equipment installation is proceeding under US authorization and consultation.
NAND powers solid state drives used in laptops, smartphones and AI data centers. Surging AI infrastructure demand has caused a global component shortage, increasing SSD and high speed RAM costs, while TrendForce forecasts NAND prices will rise 15% to 20% in the fourth quarter. Washington imposed advanced chip and equipment export controls in October 2022, tightened them in 2023, and in September 2025 the Trump administration revoked special exemptions for certain SK Hynix, Samsung and Intel facilities in China. Samsung and SK Hynix have since received annual US licenses for equipment shipments to their Chinese plants. Commerce Secretary Howard Lutnick said in July that he was discussing US factories with both companies. Solidigm is also preparing for a 2027 US IPO that could raise about $10 billion at a valuation of up to $100 billion.
Positives
- US authorization allows SK Hynix to install equipment at Dalian while complying with Washington’s export controls.
- Upstate New York is under consideration for Solidigm’s planned US NAND flash manufacturing facility.
- Annual US licenses permit Samsung and SK Hynix to ship chipmaking equipment to their plants in China.
- TrendForce’s forecast of a 15% to 20% fourth quarter NAND price increase could support memory producers’ revenue.
- Solidigm’s planned 2027 US IPO could raise about $10 billion at a valuation of up to $100 billion.
Risks & concerns
- Solidigm’s US factory plans depend on Washington approving additional American equipment for the Dalian operation.
- September 2025 policy changes removed special export exemptions for certain SK Hynix, Samsung and Intel facilities in China.
- AI data center demand has created component shortages and raised prices for SSDs and high speed RAM.
- SK Hynix denies expanding Dalian Mod B capacity despite plans to install equipment intended to increase NAND production.
- Solidigm has not finalized upstate New York as the location for its proposed US factory.
