SK Hynix is set to use molybdenum instead of tungsten in its NAND memory wordlines, leading to a surge in molybdenum prices in China, which have reached their highest level in nearly three years.
According to the state-run financial media outlet Securities Times, following the announcement that major memory semiconductor companies will produce memory wordlines using molybdenum, related stocks in China have shown strong performance.
The price of ferromolybdenum has remained high, recently surpassing 300,000 yuan (approximately $42,000) per ton, marking a three-year peak.
The increased attention on molybdenum-related companies stems from SK Hynix's recent news about its 375-layer 3D NAND technology. Securities Times reported that SK Hynix has completed the verification of mass production for its 375-layer V10 series 3D NAND flash, with the key change being the replacement of tungsten with molybdenum in the memory wordline production process.
Experts cited by Securities Times explained that in nanoscale ultra-fine line widths and high aspect ratio structures, molybdenum has lower electrical resistance and superior interface stability and process compatibility compared to tungsten. However, the current use of molybdenum as a tungsten substitute is limited to certain advanced processes, such as ultra-high-layer 3D NAND wordlines, while tungsten remains the primary material in areas like CPUs, GPUs, DRAM, and power semiconductors.
Some analysts caution that demand has not yet developed to the extent that it significantly boosts the overall performance of the molybdenum industry. Securities Times noted that while the relevant technology is being applied and creating some market demand, the supply remains very small and highly concentrated, limiting the performance improvement for most listed companies.
A representative from a molybdenum-related listed company in China stated, "While there are reports of breakthroughs in molybdenum substitution technology by foreign companies, there are currently no direct applications of our products in the semiconductor memory chip sector. Molybdenum powder for semiconductors must meet ultra-pure standards, and the industrialization of related materials is still in its early stages."
Nonetheless, there are optimistic projections for the long-term status of molybdenum. Experts cited by Securities Times indicated that while demand for semiconductor-grade molybdenum currently accounts for only 0.1-0.3% of global demand, the transition of molybdenum from a traditional industrial metal to a strategic material for advanced semiconductors is highly significant.
* This article has been translated by AI.
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