Industry insiders have revealed that the selling price of Wolfspeed's 6-inch silicon carbide wafers in 2022 is $1500 per wafer, but now some domestic suppliers have lowered their quotes to below $500. Faced with this trend, global silicon carbide companies are accelerating their transformation towards 8-inch substrates to reduce production costs, optimize supply chains, and maintain competitive advantages.

Domestic enterprises accelerate 8-inch substrate layout

1. San'an Optoelectronics

Joint venture factory put into operation:

In June 2023, Sanan Optoelectronics and STMicroelectronics jointly established Chongqing Anyifa Semiconductor Co., Ltd., focusing on 8-inch SiC epitaxial and chip production.

Volume increase by 2025:

The production line will be officially launched in March 2025, and is expected to start production in Q4 2025. It is expected to reach a production capacity of 10000 pieces per week by 2028, becoming the first 8-inch automotive grade silicon carbide power chip production line in China.

Complete supply chain:

Chongqing Sanan produces 8-inch SiC substrates, while Anyifa conducts epitaxial and chip manufacturing. Ultimately, Anyifa Semiconductor completes packaging and testing at its domestic factory, forming a nationwide 8-inch SiC supply chain.

2. Jingce Electric

The 8-inch project will be launched in November 2023, with plans to ramp up to a monthly production of 5000 pieces by 2025.

At present, we have successfully developed overseas markets and are optimizing the cost structure to promote the large-scale implementation of domestic silicon carbide substrates in high-voltage and high-frequency application scenarios.

3. Golden Silicon

February 2024

The 8-inch SiC processing line at the Hefei factory has officially been connected and entered small-scale production, with batch delivery expected to be achieved by July 2024.

Large orders in Japan:

In April 2024, signed an 8-inch SiC substrate contract with a Japanese customer, delivering 130000 pieces continuously from 2024 to 2026, with a total order value of 200 million US dollars.

4. Tianke Heda (SICC)

November 2024

Launch an 8-inch SiC substrate industrialization base with an expected annual output of 135000 pieces, and build an intelligent production line.

In the second half of 2024, the second phase factory in Xuzhou, Jiangsu is planned to start production, with an annual output of 160000 pieces of 6-inch SiC substrates.

5. Tianyue Advanced

In 2024, the Jinan factory will adjust to 6-inch conductive silicon carbide substrates with an annual production capacity of 250000 pieces.

Shanghai Lingang Factory

The second phase is promoting the expansion of 8-inch silicon carbide substrate production, and it is expected that after reaching production capacity, the overall production capacity will exceed 600000 pieces.

We plan to go public on H-shares and raise funds to expand our production capacity of 8-inch and larger substrates.

6. Keyou Semiconductor

In March 2023, the Harbin factory was put into operation, and the 8-inch SiC substrate pilot line was mass-produced in small quantities, achieving the first batch of shipments.

2024 plan: Promote mass production of 8-inch substrates, expand annual production capacity to 350000 pieces, and sign long-term contracts with more customers.

Global SiC companies accelerate 8-inch transformation

1. Wolfspeed

The annual production capacity of silicon carbide substrates is 1.07 million pieces (equivalent to 6 inches) in 2023, with plans to increase to 1.6 million pieces by 2024.

Close the 6-inch factory:

In November 2024, a $450 million facility integration plan was launched due to losses, resulting in the closure of the North Carolina Durham factory.

In 2025, the Chatham JP factory will be put into operation, with the goal of expanding the production capacity of silicon carbide substrates by 10 times.

2. ROHM

Fukuoka Chikugo Factory

We plan to mass produce 8-inch silicon carbide power devices by 2025.

Miyazaki Second Factory

Trial operation in 2024, expected to be put into operation in 2025.

3. Soitec

SmartSiC ™  technology

Developing an 8-inch SiC bonded substrate can significantly reduce production costs.

Bernin 4 Factory

By 2024, we will shift towards 8-inch SiC substrates, with an expected production capacity of 500000 pieces by 2028.

4. Coherent (formerly II-VI)

In September 2024, 8-inch SiC epitaxial wafers with product thicknesses of 350 μ m and 500 μ m will be launched.

By 2027, the Pennsylvania factory plans to produce over 1 million pieces of 6-inch and 8-inch SiC substrates annually.

5. Resonic (formerly Showa Denko)

In the third quarter of 2025, a new factory in Yamagata Prefecture, Japan will be completed and mass produce 8-inch SiC substrates.

Collaborating with Soitec to develop 8-inch SiC bonded substrates can reduce costs by 50% -66%.

6. Sumitomo Metal

September 2024

Send 8-inch SiC bonded substrate samples to customers for certification.

It is expected that by the second half of 2025, the monthly production capacity of bonding substrates will exceed 10000 pieces (equivalent to 6 inches).

Market Trends and Future Prospects

1. Price competition drives industrial chain optimization

The price of domestically produced SiC substrates has dropped below $500 per piece, prompting companies to accelerate their 8-inch production capacity layout to reduce manufacturing costs.

The cost of 8-inch SiC substrate is reduced by about 50% compared to 6-inch, and it will further increase its penetration rate in fields such as electric vehicles, photovoltaics, and energy storage in the future.

2. 8 inches become the new industry standard

It is expected that by 2025, the global SiC substrate market will gradually transition from 6-inch to 8-inch, and international giants will phase out 6-inch production lines and accelerate their development towards larger sizes.

3. Domestic SiC enterprises embrace globalization opportunities

With technological breakthroughs in domestic SiC substrate and epitaxial wafer enterprises, Chinese companies are narrowing the gap with global leaders.

Domestic manufacturers such as Sanan Optoelectronics, Tianyue Advanced, and Tianke Heda have entered the supply chain of international giants, and their market share is expected to further increase in the future.