Samsung Electronics will add 3D NAND memory chip production capacity at its Xi’an plant in China.
According to electronics industry sources on May 28, Samsung Electronics has decided to add a second production line for NAND flash memory at fabrication facilities in Xi'an and is in final talks with the local government in China.
The company is expected to invest about 10 trillion won (US$8.9 billion) in the flash memory plant. The latest decision is to meet the rapidly growing demand of NAND flash memory due to the Fourth Industrial Revolution as well as the prevalent use of mobile devices. Some industry sources expects that Samsung Electronics will start construction in September.
The first production line, which was completed in 2014, in Xi’an produces 1200,000 units of 3D NAND flash chips a month. The second production line is expected to produce 100,000 units a month when it is completed. Once the second line starts production, the Xi’an plant in China will be one of the company’s two largest 3D NAND flash chip production bases along with the Pyeongtaek plant with a monthly production capacity of 200,000 units.