TIANYU SEMI Shares Surge on AI Power Demand and Market Position in Silicon Carbide Epitaxial Wafers

Stock News06-12

Shares of TIANYU SEMI (02658) rose more than 7% during the trading session. At the time of writing, the stock is up 3.8%, trading at HK$46.44.

Public information indicates that TIANYU SEMI is a manufacturer focused on self-produced silicon carbide (SiC) epitaxial wafers, a critical raw material for power semiconductor devices. The company has achieved mass production of 4-inch, 6-inch, and 8-inch epitaxial wafers.

According to data from Frost & Sullivan, based on 2024 figures, the company is the largest self-produced SiC epitaxial wafer manufacturer in China and the third largest globally. Its domestic market share by revenue and sales volume reached 30.6% and 32.5%, respectively, while its global market share stands at 6.7% and 7.8%, indicating a strong competitive moat in its niche segment.

This past February, the company announced it had formally entered into a strategic cooperation agreement with South Korea's EYEQ Lab Inc., focusing on the supply and application of silicon carbide epitaxial wafers.

It is noteworthy that silicon carbide, as a third-generation semiconductor material, is widely used in new energy vehicles, power supply systems, and rail transit due to its high-temperature resistance, high-voltage tolerance, and high-frequency characteristics, making it a core raw material for power semiconductors.

Analysis from Huaxi Securities previously highlighted that rising power consumption in AI data centers and the introduction of Nvidia's 800V architecture have made AI power supplies a critical component. Silicon carbide, as a power device material, stands to benefit significantly from this trend.

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