CXMT considers second Beijing memory-chip plant and local financing talks, sources say

Aug 3 (Reuters) - CXMT, China's largest chipmaker by market value, is considering a second memory-chip plant in Beijing and is in financing talks with a tech manufacturing hub backed by the local government, two sources familiar with the matter told Reuters. The company is seeking to boost production amid a global chip shortage driven by AI infrastructure spending, after an $8.6 billion IPO last month that Reuters described as the largest mainland Chinese semiconductor listing on record. Reuters previously reported CXMT was building new plants in Shanghai and Hefei and discussing another facility elsewhere; those projects could double capacity to more than 600,000 wafers per month when fully operational. The new Beijing 12-inch plant would be in Yizhuang, about 20 km southeast of central Beijing, where CXMT already runs a DRAM fab, the sources said. CXMT is seeking at least 60 million yuan ($8.9 million) in support from the Beijing Economic-Technological Development Area, with other state-owned tech companies also expressing interest. Talks are at an early stage and any package could change. CXMT and the Beijing municipal government did not respond to requests for comment. Building a leading-edge DRAM fab usually costs more than $10 billion, Reuters noted. CXMT operates two 12-inch DRAM fabs in Hefei and one in Beijing, each with capacity of about 100,000 wafers per month, the sources said. Shares had gained 13% since the listing.