Founder of SMIC Zhang Rujing Joins Hands with Wanye Enterprises to Establish Jiaxin Semiconductor

According to Xin Voice, Dr. Zhang Rujing, founder of Semiconductor Manufacturing International Corporation (SMIC), is about to enter the field of domestic equipment with Wanye Enterprises. For this cooperation with Wanye, Zhang Rujing commented, “I have always been interested in semiconductor equipment.”

On the evening of December 22, Wanye Enterprises announced that the Company had joined hands with Ningbo Xinen and had established a new company called Jiaxin Semiconductor Equipment Technology Co., Ltd. (Jiaxin Semiconductor). The company will be based in the Yangtze River Delta integration demonstration area (in Jiashan, Zhejiang) and will have a total investment scale of 2 billion yuan ($313.87 million). The new company will focus on building a leading domestic integrated circuit equipment enterprise, forming a “1 + N” product platform model, and laying out semiconductor core equipment in multiple directions.

Ningbo Xinen Semiconductor was established on October 20, 2017, and its legal representative is Zhang Rujing.

Jiaxin Semiconductor was initially established in April 2021. Wanye Enterprises holds 80% of its shares as its largest shareholder, and Ningbo Xinen holds 20%. In the future, Jiaxin Semiconductor will be mainly engaged in the development, production and equipment reconditioning of new 8-inch and 12-inch semiconductor equipment such as etching machines, rapid heat treatment machines, thin film deposition machines and mechanical arms, and is committed to becoming an industry leader in the field of semiconductor equipment in China.

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On December 22, 2021, Jiaxin Semiconductor signed a project investment agreement and supplementary agreement with the government of Xitang Town, Jiashan County. The project will form an R&D and manufacturing base with an annual output of 2,450 sets of new equipment and 50 sets of semiconductor reconditioning equipment, with a land area of 109 mu (about 72,700m2) and a total investment of 2 billion yuan. As the controlling shareholder, Wanye Enterprises will invest no more than 800 million yuan.

According to Smiconductor Equipment and Materials International (SEMI), it is estimated that the total shipments of semiconductor equipment in 2021 will reach about 103 billion dollars, an increase of 44.7% compared with the shipments of $71 billion in 2020. Further, the semiconductor equipment market will continue to expand and it isestimated that the total output value will reach a record high of $114 billion in 2022.