01. Q3 DRAM Prices Poised to Rebound
Nanya Technology president Lee Pei-ying told investors on 10 July that non-AI DRAM reached supply-demand balance in June, pushing spot prices higher. He expects Q3 price, volume, and inventory to improve markedly, with gross margin turning positive, though net profit remains a challenge. ASPs fell 4–6 % in April–May, dragging Q2 revenue to NT$10.53 bn (+46.4 % QoQ). Utilisation is at 100%, DDR4 is 50% of the mix, gross margin was –20.6%, FX losses were NT$1.12bn, and net loss NT$4.11bn (–NT$1.32 EPS). Lee noted AI HBM already rose in 2024, while non-AI memory—90 % of the market—started to climb in June and should continue into H2. U.S. tariffs and Section 232 probes have had a limited impact on Taiwanese semiconductors, with customers reacting calmly.
02. NAND Flash Contract Prices Seen Up 5–10 % in Q3; Sluggish Phone Demand Caps eMMC/UFS Gains
TrendForce reported on 11 July that after six months of output cuts and inventory digestion, NAND Flash supply has tightened. Vendors are shifting capacity to high-margin products, shrinking spot availability, while AI server builds and Nvidia Blackwell ramps add fresh demand. Overall Q3 contract prices are forecast to rise 5–10 % QoQ. Client SSD prices are expected to climb 3–8% due to OEM restocking, the Windows 10 EOS, and DeepSeek-AI PC momentum. Enterprise SSD prices will also increase 5–10 % as North American CSPs and Chinese customers place large orders, but lead times have stretched because fabs trimmed wafer starts earlier this year. By contrast, eMMC and UFS for handsets are projected to rise just 0–5 % amid cautious smartphone forecasts, despite supply cuts, while NAND wafers could jump 8–13 % as output falls and module houses restock conservatively.
03. Yageo Posts Record Q2 Revenue on AI-Driven Demand
Passive-component giant Yageo announced on 8 July that June consolidated revenue reached NT$11.06 bn (+8.2 % MoM, +10.5 % YoY), topping NT$10 bn for the fourth straight month. The beat was driven by stronger-than-expected pull-ins and more working days, with AI applications a key order driver. Several product lines have book-to-bill ratios of 1.2–1.3 and full capacity utilisation. AI demand has also lifted tantalum-capacitor consumption; Yageo’s KEMET unit has raised selected part prices by double-digit percentages 04. NXP Strengthens Its Local Supply Chain in China.
04. Samsung Profit Halved: CXMT IPO Set to Shake DRAM Landscape
Samsung Electronics guided on 8 July for Q2 operating profit of only KRW 4.6 trillion, down 56 % YoY and a six-quarter low, extending a three-day share slide. Samsung blamed blocked shipments due to U.S. trade policy, inventory write-downs, and delays in Nvidia HBM certification. The long-standing Samsung–SK hynix–Micron triopoly is loosening, opening a window for Chinese players. On 7 July, China’s DRAM leader CXMT formally launched its A-share IPO. With 240 k WSPM capacity, 13 k patents, and a RMB 150 bn valuation, CXMT is viewed as the wildcard that could redraw the global DRAM map.
05. Semiconductor “Copper Crisis” Looms: One-Third of Global Capacity at Risk by 2035
A new PwC report warns that climate-driven water shortages could disrupt copper supply for roughly 32 % of global semiconductor capacity by 2035, four times today’s level. Copper, indispensable for on-chip interconnects and data-center cabling, still lacks a cost-effective substitute. Chile, the top copper producer, already sees 25 % of its output threatened by drought; this could reach 75 % by 2035 and over 90 % by 2050. By then, most of the 17 major copper-supplying nations may be water-stressed, putting every leading fab at risk. Demand is set to double on AI infrastructure, EVs, and renewables, while new mines take 15+ years to develop, implying a 30 % supply gap. PwC cautions that without material innovation or water-system breakthroughs, the risk will escalate and could trigger fresh geo-economic conflicts.
06. Apple Foldable iPhone Enters Pilot Run by Year-End; TSMC amp Foxconn Vie for Share
The Economic Daily reported on 11 July that supply-chain sources confirm Apple has asked partners to complete pilot production of the first foldable iPhone by the end of 2025. Mass production is slated for H2 2026 after whole-device testing in H1, with a first-year shipment target of 7 mn units, aiming for a 30 % global foldable share. After five years of development and double-digit design revisions, Apple has finally frozen specs; a foldable iPad is on hold due to high pricing. Core Taiwanese suppliers—TSMC, Foxconn, and Shin Zu Shing—have passed Apple’s stringent tests and are now “moving,” ready to take on Samsung.