Huawei joins hands with Taiwanese manufacturers to accelerate the construction of its own supply chain?

In response to the US ban, Huawei is accelerating the construction of its own supply chain and wooing Taiwanese semiconductor manufacturers to break through. Siliconware Precision Industries, a subsidiary of ASE Technology Group, has become the first Taiwanese manufacturer favored by Huawei. Siliconware Precision Industries' new plant in Jinjiang, Fujian, officially started accepting orders and shipping in September, and started back-end testing of 5nm chips in Taiwan, becoming an important member of Huawei's self-built supply chain.

In addition, IC testing companies King Yuan Electronics and Siliconware Precision, as well as wafer inspection solution giant Precision Test, are also reported to set up factories in mainland China at the request of Huawei.

It is understood that Siliconware Precision Industries' packaging and testing plant in Jinjiang, Fujian, was originally established to cooperate with the memory plant jointly built by UMC and Fujian Jinhua, but Fujian Jinhua's plan to build a new 12-inch plant has been suspended; Siliconware Precision Industries' Fujian packaging and testing plant has switched to cooperation with Huawei's chip giant HiSilicon, and the two parties have agreed that in the future, Siliconware Precision Industries' Fujian plant will provide HiSilicon with back-end packaging and testing services for chips produced by TSMC's Nanjing plant.

In addition, in conjunction with TSMC's mass production of HiSilicon's 5nm chips next year, SPIL is also working intensively on HiSilicon's most advanced 5nm base stations and back-end packaging of mobile phone chips to prepare for the mass production of HiSilicon's related 5nm chips next year.

Jingce is also a member of Huawei's supply chain, with revenue from Huawei accounting for 20% to 25%. Huang Shuike, general manager of Jingce, said that the current business with Huawei is not affected. Customers have asked Jingce to increase the number of project development personnel in Shanghai by several times, but Jingce is still evaluating and considering.

KYEC has also finalized with Huawei to build 170 advanced test equipment for it in its Suzhou plant, of which 110 have been completed. KYEC said Huawei requires the remaining 60 test machines to be in place next year.