Korea Semiconductor Industry Association Releases Report
First Quantification of the Technology Gap Between China and South Korea
Approximately 1-Year Gap in NAND
Approximately 2-Year Gap in DRAM
Approximately 3-Year Gap in HBM
On September 15, a report released by the Korea Semiconductor Industry Association pointed out that the technology gap between China and South Korea in the memory chip field has narrowed from the previously assessed "over 5 years" to about "one generation." The gap in NAND Flash has narrowed to approximately 1 year, DRAM to about 2 years, and HBM to about 3 years.
Image source: Official website of Korea JoongAng Daily
The "1-year" gap in NAND primarily corresponds to the number of stacked layers and the pace of mass production;
The "2-year" gap in DRAM primarily corresponds to the process node and product platform;
The "3-year" gap in HBM, on the other hand, represents a composite capability gap in "memory-packaging-computing power," spanning DRAM base wafers, TSV (Through-Silicon Via), microbumps, interposers, CoWoS-like advanced packaging, thermal management, and GPU/ASIC system validation.
This report seems to have forged a consensus among South Korean government officials and the industry: China's memory sector is no longer a follower on the track, but a variable that must be directly factored into the competitive landscape. Kim Jung-kwan, Minister of the Ministry of Trade, Industry and Energy of South Korea, frankly expressed a sense of "urgency and anxiety" regarding the speed of China's semiconductor development; Choi Jung-dong, Senior Vice President at TechInsights, stated bluntly that China should be viewed as a "competitor rather than a follower."
Global Memory Landscape Behind Industry Estimates
In the second quarter of 2026, global DRAM market revenue reached approximately USD 154.7 billion. Samsung (38%), SK hynix (25%), and Micron (24%) collectively accounted for 87%, presenting a pattern of "South Korean dominance with U.S. players in close pursuit." During the same period, CXMT's (ChangXin Memory Technologies) global DRAM market share was about 10%, ranking fourth.
During the same period, in terms of shipment share in the NAND market, the top five players—Samsung (25%), SK hynix Group (22%), YMTC (Yangtze Memory Technologies Co., Ltd.) (14%), Kioxia (14%), and Micron (13%)—collectively accounted for nearly 90%. Relying on its shipment scale, YMTC ranked third globally, surpassing Kioxia and Micron for the first time, trailing only Samsung and SK hynix.
Behind the data lies a structural shift occurring in the global memory supply system: leading IDMs (Integrated Device Manufacturers) from South Korea, the United States, and Japan still hold the dominant power in capacity and pricing, but Chinese manufacturers have moved from the periphery of the industrial chain into the mainstream global competitive arena. More accurately, what China's memory sector is exploring is not comprehensive benchmarking along the existing track, but an asymmetric advancement path characterized by independent innovation as its foundation, architecture and systems as its fulcrum, and domestic application scenarios as its driver.
YMTC: NAND Market Share Ranks Third Globally
In 2014, YMTC's 3D NAND flash memory project was officially launched. In 2016, the National Memory Base was established in Optics Valley of China, Wuhan, and Yangtze Memory Technologies Co., Ltd. (YMTC) was founded. As the core entity undertaking the national strategic task of independent and controllable NAND, YMTC has shouldered the mission of breaking foreign monopolies and establishing a complete domestic 3D NAND technology system and industrial ecosystem since its inception.
YMTC's Development History:
2014
YMTC's 3D NAND flash memory project was officially launched
2015
9-layer 3D NAND flash memory test chip passed electrical performance verification
2016
Design of the first-generation 3D NAND flash memory test chip was completed
Yangtze Memory Technologies Co., Ltd. (YMTC) was established
2017
Design of the first-generation 3D NAND flash memory (X0-A030) was completed, and its first tape-out was realized
2018
First tape-out of the second-generation 3D NAND flash memory (X1-9050) was realized
The Xtacking™ architecture was released at the Flash Memory Summit (FMS), winning the Best of Show award
Mass production of the first-generation 3D NAND flash memory (X0-A030) was achieved
2019
Mass production of the second-generation 3D NAND flash memory (X1-9050) was achieved
Design of the third-generation TLC 3D NAND (X2-9060) was completed, and its first tape-out was realized
2020
Design of the third-generation QLC 3D NAND (X2-6070) was completed
SSDs under the retail storage brand ZhiTai were launched
eMMC/UFS embedded storage passed customer verification
2021
Mass production of the third-generation TLC/QLC NAND (X2-9060/X2-6070)
Mass production of eMMC/UFS
2022
System solutions based on the third-generation 3D NAND were launched
R&D of the fourth-generation TLC 3D NAND (X3-9070) was successfully completed
CrystalStack® Xtacking® 3.0 won the Most Innovative Memory Technology Award at the Flash Memory Summit (FMS 2022)
2023
Mass production of the fourth-generation TLC/QLC NAND (X3-9070/X3-9060)
2024
R&D of the fifth-generation TLC 3D NAND (X4-9060) was successfully completed and mass production began
2025
The fifth-generation QLC 3D NAND (X4-6080) was released
CrystalStack® Xtacking® 4.0 won the Most Innovative Memory Technology Award at the Future Memory and Storage Summit (FMS 2025)
The key to YMTC's breakthrough lies in its architectural shift. Xtacking involves fabricating the memory array and peripheral circuits on separate wafers and then bonding them through vertical interconnect access channels, creating a combined advantage in I/O speed, R&D parallelism, and process selection flexibility. In 2018, mass production of 32-layer 3D NAND began; in 2019, mass production of 64-layer products based on Xtacking commenced; in 2020, the world's first 128-layer QLC 3D NAND was introduced; and around 2022, it entered the ranks of products with over 200 layers, joining the global first tier.
According to Counterpoint data, in the second quarter of 2026, YMTC's global NAND shipment share was approximately 14%, ranking third globally, surpassing Kioxia and Micron for the first time, and trailing only Samsung and SK hynix.
More symbolically, according to South Korean media reports, Samsung Electronics and YMTC have reached a licensing agreement on patents related to 3D NAND hybrid bonding. This marks the first time a Chinese company has exported intellectual property in the core architecture layer of 3D NAND to a global memory leader, establishing a patent moat that cannot be ignored.
CXMT: Ranked First in Total Market Capitalization on the A-Share Market
In 2016, the first phase of CXMT's DRAM base project was launched in Hefei. In 2018, it completed verification tape-out and trial production of 8Gb DDR4 engineering samples. In 2019, it achieved mass production of its first 8Gb DDR4 product, filling the gap in domestic independent DRAM supply. In July 2026, ChangXin Memory Technologies (CXMT) was listed on the SSE STAR Market, with a total market capitalization of approximately CNY 3.28 trillion on its first day, becoming the first semiconductor enterprise to top the total market capitalization list on the A-share market.
CXMT's Development History:
2016
The first phase of the CXMT (Hefei) DRAM base project was initiated
2017
Construction of the first phase of the CXMT (Hefei) base project commenced
2018
Construction of the first-phase factory building at the Hefei base was completed, and equipment move-in began
Verification tape-out was completed, and trial production of 8Gb DDR4 engineering samples commenced
2019
8Gb DDR4 was showcased at the World Manufacturing Convention
The first order was secured, marking the start of product sales
2020
The first phase of the CXMT (Beijing) DRAM project was launched
2021
The second phase of the CXMT (Beijing) DRAM project was launched
2022
The trial production line for the first phase of the CXMT (Beijing) DRAM project was successfully commissioned
The main factory building for the second phase of the CXMT (Beijing) DRAM project was successfully topped out
DRAM competition is not limited to process node shrinkage; it is a composite contest involving low power consumption, reliability, platform compatibility, automotive-grade certification, and customer ecosystems. Using domestic mobile terminals, servers, information technology application innovation (Xinchuang) systems, and industrial systems as validation grounds, CXMT first stabilized the supply of general-purpose DRAM with mature process platforms, and then steadily advanced towards DDR5, LPDDR5X, and LPDDR6. In September 2026, CXMT announced the mass production of its fifth-generation DRAM technology platform (G5), with the simultaneous mass production of 24Gb LPDDR5X products based on this platform. Earlier in August, CXMT announced the mass production and commercialization of its self-developed LPDDR6, which was first deployed in Xiaomi's 18 Fold flagship foldable smartphone, placing Chinese enterprises in the global first tier in the implementation of high-end mobile memory standards.
According to Counterpoint's revenue metrics for the second quarter of 2026, CXMT's global DRAM market share was approximately 10%, ranking fourth globally.
Conclusion
Looking back on this path of advancement, the growth of YMTC and CXMT is just a vivid microcosm of the breakthrough in China's semiconductor industry. More importantly, the nation has anchored the strategic direction, local governments have provided a foundation with a decade of investment regardless of output, industrial capital has withstood losses with long-cycle endurance, and enterprises have steadfastly forged a path of independent innovation amidst external blockades.
They have proven one thing: latecomers are not destined to be mere recipients of rules forever. When independent architecture, system synergy, and scenario-driven application form a combined force, China's memory sector gains the potential to transition from "catching up in speed" to "defining capabilities"—and this journey has only just begun.