Infineon plans to invest more than 2 billion euros to build SiC and Gan front production lines. On February 17, Infineon announced that it would invest more than 2 billion euros to build a front production line as its third plant in Gulin, Malaysia, in order to improve its manufacturing capacity in the field of third-generation semiconductor SiC and Gan. The new plant mainly involves key processes such as epitaxy and wafer cutting. It is expected that the first batch of wafers will be offline in the second half of 2024. After its completion, the new plant is expected to add 2 billion euros a year from SiC and Gan products.
Infineon expects SiC revenue to reach US $1 billion in 2025, and the market share is expected to reach 30%. Under the strong demand in the fields of new energy vehicles and photovoltaic, Infineon SiC products achieved a revenue of about US $200 million in fiscal year 2021, a year-on-year increase of + 100% over fiscal year 2020. Looking forward to the future, it is expected that the downstream will still maintain strong demand. Infineon expects that SiC product revenue is still expected to achieve a year-on-year growth rate of about 90% in fiscal year 2022. By 2025, Infineon expects SiC product revenue to reach US $1 billion, accounting for about 30% of the global market.
Infineon laid out SiC products earlier, and a variety of products led the development of the industry. Infineon started the research and development of high-power SiC diodes and transistors as early as 1992. In 2001, Infineon released the world’s first commercial SiC device. In 2006, Infineon launched the first power module for built-in SiC devices driven by industrial motors. In 2016, Infineon released sicmosfet technology at the PCIM conference in Nuremberg. In 2020, Infineon successively launched 650V and 1700V sicmosfet single tubes Vehicle HPD package 1200vsicmosfet module and the world’s first 1200V transfer molded sicipm solution.
The market of electronic sector is stronger than the market
From February 14 to February 18, the Shanghai index rose 0.80%, and CITIC electronics rose 2.39%, outperforming the market by 1.59 percentage points. Year to date, the Shanghai index fell 4.09%, CITIC electronics fell 14.22%, underperforming the market by 10.13 percentage points.
Increase in electronic industry segments
From February 14 to February 18, the top five sectors in the electronics segment were semiconductor equipment, semiconductor materials, consumer electronic components, consumer electronics and consumer electronic equipment, up 6.88%, 5.09%, 4.49%, 4.32% and 3.02% respectively.
Rise and fall of individual stocks: A shares
From February 14 to February 18, the top five companies in the electronics industry were Suzhou Ta&A Ultra Clean Technology Co.Ltd(300390) , Jiangsu Pacific Quartz Co.Ltd(603688) , Suzhou Goldengreen Technologies Ltd(002808) , Shenzhen Zhongheng Huafa Co.Ltd(000020) and Electric Connector Technology Co.Ltd(300679) , up 16.92%, 14.21%, 13.37%, 12.50% and 11.94% respectively; The companies with the top five declines were Xiamen Xindeco Ltd(000701) , Szzt Electronics Co.Ltd(002197) , Sharetronic Data Technology Co.Ltd(300857) , Shanghai Huaming Intelligent Terminal Equipment Co.Ltd(300462) and Wuxi Etek Microelectronics Co.Ltd(688601) , down 10.78%, 9.35%, 6.70%, 5.99% and 5.76% respectively.
Investment advice
It is recommended to pay attention to Sanan Optoelectronics Co.Ltd(600703) , Tianyue advanced, Starpower Semiconductor Ltd(603290) , Zhuzhou Crrc Times Electric Co.Ltd(688187) , Wuxi Nce Power Co.Ltd(605111) , Macmic Science & Technology Co.Ltd(688711) related targets of the third generation semiconductor.
Risk tips
The R & D is less than expected, the downstream demand is less than expected, and the production capacity of SiC substrate is less than expected.
