[News] SK hynix Reportedly Revives Dalian Plant 2 Expansion in 2H26, Adding New V8 NAND Capacity

A NAND recovery is prompting memory makers to revive capacity plans once put on hold. After unveiling a roughly $50 billion investment in a new NAND flash facility in South Korea, SK hynix is also pressing ahead in China. According to News Tomato, the company plans to restart the long-delayed expansion of Dalian Plant 2 in the second half of 2026.

News Tomato notes that SK hynix aims to start installing production equipment at Dalian Plant 2 in the second half and complete the facility build-out in phases through the first half of 2027. Domestic partners have reportedly started relocating idle NAND equipment to Dalian, while overseas suppliers are said to have received preliminary purchase orders (POs) for equipment deliveries.

Dalian Plant 2, Sisa Journal adds, is set to get a new V8 line (238-layer) this second half, with monthly capacity targeted at 30,000 to 50,000 wafers. Dalian Plant 1, meanwhile, is already deep into converting its lines to 192-layer NAND and swapping out aging equipment, per the News Tomato report.

The move marks a major shift in SK hynix’s investment strategy, as it had effectively suspended the Dalian Plant 2 project amid U.S. restrictions and a prolonged NAND downturn. As noted by News Tomato, while NAND market conditions improve, uncertainty over equipment supplies has also eased now following the U.S. shift from the existing Verified End User (VEU) system to an annual approval process for equipment shipments.

Against this backdrop, the market is closely watching whether SK hynix, riding on the DRAM and HBM boom, can further unlock the value of its KRW 11 trillion (roughly US$8 billion) acquisition of Intel’s NAND business through the Dalian expansion, the report notes, suggesting Dalian Plant 2 is regarded as the fastest expansion site among SK hynix’s NAND production bases.

Samsung Accelerates China NAND Upgrade

On the other hand, Samsung Electronics is stepping up its NAND investment in China as well, accelerating the transition of its Xi’an fabrication plant to higher-generation V-NAND. According to Sisa Journal, the company has begun building the necessary production infrastructure following the launch of mass production for its eighth-generation (V8) V-NAND in late March.

The report adds that Samsung completed the conversion from its 128-layer V6 production lines to 236-layer V8 on March 30, with volume production now underway as the company ramps up next-generation NAND output.

The expansion is also reflected in Samsung’s higher capital spending in China. According to Sisa Journal, the memory giant’s investment in its Xi’an NAND facility is estimated at approximately US$304 million (KRW 465.4 billion) in 2025, up about 67.5% from a year earlier.

Meanwhile, Korea Times also reports that in 2025, SK hynix boosted investment in its Dalian NAND manufacturing subsidiary to KRW 440.6 billion, marking a 52% increase from a year earlier.

Read more

• [News] The Race to 400-Layer NAND: Roadmaps and Key Technologies Driving Samsung, SK hynix, and Kioxia
• [News] SK hynix Advances DRAM and NAND Roadmap, Targets 3x Wafer Output by 2034, 375-Layer NAND at Year-End

(Photo credit: SK hynix)