Chinese Memory Makers Accelerate Domestic DDR5 Production as CXMT Reports Strong Q1
Chinese memory module manufacturers are accelerating the release of consumer and enterprise storage products powered by domestic DDR5 chips, according to the South China Morning Post (SCMP). This push follows breakthroughs by ChangXin Memory Technologies (CXMT), the nation's leading memory chipmaker, whose technology is now moving from demonstration to commercial deployment.
Domestic DDR5 Products Enter Mass Production
Powev, one of China's major memory module vendors, recently announced that its Sinker-branded DDR5 server memory modules have entered mass production and are being delivered to customers. The 64GB DDR5-5600 RDIMM products have passed testing with multiple major clients and are now available for bulk supply to enterprise customers, channel partners, and branded vendors, per SCMP.
Other Chinese vendors, including Comay, have also released DDR5 products based on CXMT chips for industrial and enterprise applications. In the consumer market, Powev's Gloway and KingBank DDR5 memory modules using domestically produced DRAM have been on sale since late 2024, marking one of the first visible signs that Chinese-made DDR5 is reaching retail channels.
These downstream product launches build on CXMT's official debut of its DDR5 chip portfolio in November last year. The Hefei-based company said its DDR5 chips support speeds of up to 8,000 Mbps and come in 16Gb and 24Gb densities, targeting servers, workstations, and personal computers.
CXMT's Financial Surge
CXMT disclosed sharply stronger first-quarter results and an upbeat first-half outlook in its updated listing prospectus, according to SCMP. The company reported first-quarter revenue of 50.8 billion yuan (US$7.4 billion), a 719% increase year-over-year. Net profit reached 33.01 billion yuan, compared with a loss of 2.83 billion yuan in the same period last year.
For the first half of 2026, CXMT forecasts revenue of 110 billion to 120 billion yuan, up from 15.44 billion yuan a year earlier. The company expects net profit of 66 billion to 75 billion yuan, reversing losses from the prior-year period.
CXMT attributed the surge to fast-rising DRAM prices, expanding sales volumes, and an improved product mix, as memory has been in short supply since the second half of 2025.
Market Reaction
The strong financial results lifted Chinese memory-related stocks. GigaDevice, a chip designer and CXMT shareholder, saw its shares rise 6.57% on Monday to close at 400 yuan, extending gains of more than 40% over the past month. In Hong Kong, GigaDevice shares rose 8% on May 18 to close at HK$587.50. Biwin Storage, one of CXMT's largest vendors, saw its shares jump 8.10% to 331.1 yuan, with its stock price more than doubling since March.
Technology Gap and Industry Implications
While CXMT's progress is notable, its 24Gb DDR5 density leaves the company roughly one generation behind the most advanced 32Gb DDR5 chips from global leaders Samsung Electronics, SK Hynix, and Micron Technology, according to SCMP. Nevertheless, analysts view the development as a significant step forward for China's domestic DRAM industry, which has been seeking to reduce reliance on foreign memory suppliers.
Outlook
The combination of CXMT's financial momentum and the growing availability of domestic DDR5 modules suggests China's memory supply chain is gaining traction. However, the technology gap with leading international manufacturers persists, and the sustainability of the current memory upcycle remains to be seen. Observers will be watching whether CXMT can continue to close the performance gap while meeting the demands of both domestic and international markets.
This article is based on reporting from the South China Morning Post.