The signs of tight chip production capacity are becoming increasingly evident. SMIC recently announced a price increase of about 10% for some products. At the same time, Huahong's 8-inch production line is also operating at full capacity.

There are two main drivers behind this wave of price hikes: first, sustained strong market demand has already filled the capacity of major domestic foundries; second, leading international foundries are beginning to adjust their strategies—TSMC announced the integration and optimization of some 8-inch production lines, which directly triggered market expectations of price increases.

From a supply chain perspective, when industry leaders reach capacity saturation and start shutting down redundant production lines, it often indicates that the industry is undergoing a new round of structural adjustment. In the short term, this will push up chip prices; in the long term, it reflects a rethinking of capacity allocation across the entire semiconductor ecosystem. Market reactions are expected to continue following this trend.