China's Huawei Supports SwaySure in Building a DRAM Factory with 140,000 Monthly Wafer Capacity

en.Wedoany.com Reported - Huawei is supporting a major DRAM manufacturing project in China, led by SwaySure Technology, a memory company with Shenzhen state-owned background. The planned 12-inch wafer fab will use 28nm process technology, targeting a monthly capacity of 140,000 wafers. This move aims to reduce reliance on foreign suppliers, U.S. trade restrictions, and global memory shortages.

Currently, information about this project primarily comes from the account Semiconductor Insider on social media platform X. Neither Huawei nor SwaySure has officially announced a new partnership or confirmed production targets. Tech media outlet Wccftech rated this claim as "plausible" but noted limited independent corroboration. Huawei has not publicly commented on the latest reports. The data on 28nm process and 140,000 wafer capacity is not entirely new; similar details were reported when SwaySure was established in Shenzhen in 2022, suggesting that the latest information may involve expansion or advancement of an existing project.

SwaySure describes itself as a memory chip developer and manufacturer funded by state-owned investment organizations. Founded in March 2022 with a state-owned background in Shenzhen, it focuses on developing and manufacturing memory products for consumer electronics, automotive, and other applications. The Financial Times previously reported that SwaySure operates one of several semiconductor facilities developed in Shenzhen with local government support. Industry sources say Huawei has assisted some related companies in terms of personnel, technology, and financing, but Huawei denies that SwaySure and several other semiconductor companies are its affiliates, stating that attributing all semiconductor activities around the Shenzhen facility directly to Huawei is incorrect.

SwaySure has recruited several executives with extensive experience in the international semiconductor industry. Its CEO, Liu Xiaoqiang, previously managed manufacturing plants at TSMC, and the company also appointed Yukio Sakamoto, former CEO of Japanese DRAM manufacturer Elpida, as Chief Strategy Officer. These appointments were first reported when SwaySure began operations in 2022.

Huawei currently relies on external manufacturers for a large portion of memory chips used in its smartphones, telecom equipment, automotive, and AI hardware. Since 2019, Huawei has faced U.S. technology restrictions limiting its access to advanced chips, manufacturing equipment, and foreign suppliers, prompting the company to build a more self-sufficient semiconductor supply chain in China. A large domestic DRAM facility could reduce Huawei's dependence on Samsung, SK Hynix, and Micron, which together dominate the global DRAM market.

The reported project comes at a time when the memory industry is struggling to meet AI data center demand. SK Hynix CEO Kwak Noh-jung recently warned that the industry could face its worst supply shortage in 2027, predicting that demand will continue to outpace capacity beyond 2030. AI companies are consuming increasing amounts of high-bandwidth memory and conventional DRAM, and shortages have already pushed up component prices, adding pressure to manufacturers of smartphones, PCs, automotive, and other electronic products.

The report does not provide a confirmed construction timeline or mass production date, nor is it clear what type or generation of DRAM SwaySure initially plans to manufacture. The 28nm process may target mature memory applications rather than the most advanced high-bandwidth memory required for cutting-edge AI processors. Although the reported factory should be viewed as an unconfirmed Huawei-related project, SwaySure's existing government support, experienced management team, and previously reported ties with Huawei suggest that China is steadily advancing its broader efforts to build a domestic memory supply chain.