Leading power semiconductor company Infineon recently released its Q1 FY25 financial report, citing third-party data that estimated the global power device and power module market at $35.7 billion in 2023. Notably, Silan Microelectronics (600460.SH) ranked 10th globally, capturing a 2.6% market share, making it the only Chinese company in the top 10. This achievement highlights Silan Micro's growing strength in power semiconductors and underscores China's rapid rise in the global semiconductor industry.

Expanding Market Presence and Revenue Growth

Over the past few years, Silan Micro has steadily expanded its international presence. From 2020 to 2022, the company's MOSFET, IGBT, and IPM intelligent power module market shares consistently ranked within the global top 10.

In 2024, Silan Micro continued to launch highly competitive products and expanded its footprint in high-barrier markets, including household appliances, telecommunications, industrial applications, renewable energy, and automotive sectors. The company has benefited significantly from the rapid growth of the EV and renewable energy industries. Notably, over 75% of Silan Micro's revenue in circuit and device product sales came from these high-demand sectors.

To further optimize its product portfolio, the company has accelerated its expansion in power management chips, IGBT devices, IPM and PIM power modules, SiC (silicon carbide) MOSFETs, super-junction MOSFETs, MEMS sensors, MCUs, SoCs, fast recovery diodes, TVS diodes, and voltage regulators. These product categories have contributed to strong overall revenue growth.

According to Silan Micro's 2024 annual earnings forecast, the company expects a net profit of RMB 1.84–2.24 billion, reflecting a 212.39%–280.31% year-over-year increase. This significant profit surge highlights the company's improved profitability and strong competitive position in the semiconductor market.

Aggressive Capacity Expansion to Meet Rising Demand

In response to surging demand from automotive, renewable energy, computing, and telecommunications sectors, Silan Micro is scaling up its SiC production capacity.

● 6-inch SiC chip production line: Currently producing 9,000 wafers per month.

● 8-inch SiC power device production line: A major project with a Phase 1 investment of RMB 7 billion, targeting a monthly capacity of 35,000 wafers, expected to begin pilot production by the end of 2025.

In 2024, Silan Micro's 5-inch and 6-inch chip fabs (Silan Integrated), 8-inch chip fab (Silan Jixin), and 12-inch chip fab (Silan Jike) all operated at full capacity. The company has also allocated funds for technological upgrades to further boost production efficiency in 2025.

Advancing Technology for Automotive and Industrial Applications

Silan Micro has successfully developed third- and fourth-generation planar SiC MOSFETs, achieving industry-leading performance levels.

EV applications:

● The second-generation SiC MOSFET-based main motor drive module is already in mass production and shipping to automotive customers.

● The fourth-generation SiC MOSFET-based drive module is undergoing customer validation and is expected to enter mass production in 2025.

A Key Player in China's Semiconductor Independence

With strong government policy support and booming demand in EV, renewable energy, computing, and telecommunications, China's semiconductor localization efforts are accelerating.

As one of China's leading IDM companies, Silan Micro leverages its specialized process technology and product development expertise to meet the diverse needs of downstream manufacturers, including automakers and industrial equipment providers.

By continuously expanding its automotive- and industrial-grade semiconductor offerings, Silan Micro is well-positioned for sustained revenue growth and improved profitability. The company is poised to strengthen its presence in the global power semiconductor market, contributing significantly to China's push for semiconductor self-sufficiency.