THE CRUNCH
Solidigm, the NAND Flash business owned by SK hynix, is reportedly planning to open its first manufacturing facility in the United States. This move aims to bolster global supply chain resilience and address geopolitical risks. Currently, Solidigm operates solely outside the US, with its headquarters and R&D located there, but all manufacturing taking place in China.
The reported expansion comes as SK hynix seeks to strengthen its worldwide production capabilities. Solidigm currently operates Fab 1 in Dalian, China, and has been accelerating the construction of Fab 2 nearby. The company has not previously expanded its manufacturing footprint overseas since its 2021 acquisition of Intel's NAND business.
The new US facility is expected to increase Solidigm's production capacity by 50% by 2027. This growth is intended to meet the rising demand for NAND Flash storage. The project represents a resumption of expansion in mainland China after a four-year freeze, while simultaneously establishing a new manufacturing base in the US.