Sudden collective surge! Chip rumors completely ignite! Major news about Nvidia too!

Storage chip concept stocks surge sharply!

Today (March 18), during trading, A-share storage chip concept stocks collectively rallied, with Tongyou Technology hitting a 20% limit-up, China Electronics Port and Chengbang Shares up 10%, Langke Technology once up over 18%, and Bawei Storage up over 10%. Among them, Bawei Storage and Langke Technology both hit new all-time highs.

Meanwhile, in South Korea and Japan’s securities markets, storage chip concept stocks also surged collectively, with Samsung Electronics up over 5% and SK Hynix up over 4%.

Market analysts pointed out that the rise in Asia-Pacific storage chip stocks is mainly related to two pieces of news: First, the voting on Samsung Electronics’ union strike plan in May will end this Wednesday. If the strike plan is approved, the world’s largest storage chip manufacturer will halt chip production in May, potentially worsening storage chip shortages; second, there are new developments regarding Nvidia’s H200 AI chip export plans for large-scale manufacturing.

Chip giant strike rumors flood headlines

According to Reuters, the leader of Samsung Electronics’ largest union in Korea said that as union members vote on the strike plan in May, the union threatens to disrupt chip production.

A strike at Samsung Electronics could exacerbate global semiconductor supply bottlenecks. Currently, strong demand from AI data centers has already limited semiconductor supplies across industries from automotive and computers to smartphones.

Samsung Electronics union leader Son Yu-kwan said last week at the start of voting, “I expect production will be disrupted.” Of Samsung’s 125,000 employees in Korea, about 90,000 union members are eligible to vote in the ballot ending this Wednesday.

Reportedly, Son Yu-kwan stated that if negotiations fail, they plan to strike for 18 days starting May 21. He added that this could affect about half of the production at Samsung’s large semiconductor campus in Pyeongtaek, south of Seoul. An anonymous Samsung executive said that even a single strike causing production halts could damage customer trust and take years to recover. A Samsung spokesperson said the company will continue to engage in sincere dialogue with employees.

Son Yu-kwan said that Samsung employees are increasingly dissatisfied with the growing pay gap with major competitors, leading union membership to surge last September after SK Hynix agreed to their demands for wage reforms. “The chip industry is booming, but these benefits haven’t reached us. That’s why we’re fighting back.”

He added that over the past three months, more than 100 union members have left Samsung to work at SK Hynix and other companies. SK Hynix approved a plan to raise bonus caps and allocate 10% of operating profit to a bonus pool.

The Samsung union demands a 7% increase in base salary, the removal of the performance bonus cap (currently 50% of annual base salary), and the introduction of a profit-based bonus pool to replace what they call outdated and opaque standards. Samsung Electronics reported record profits in Q4 2025, and analysts expect annual operating profit to grow more than threefold this year, exceeding 2,000 trillion won (about $1.34 billion).

In an internal memo earlier this month, Samsung Electronics said it has attempted to reach a 2026 salary agreement by proposing an “unprecedented” compensation plan. The proposal includes a 6.2% salary increase and special bonuses for storage chip employees, equivalent to 100% of their base salary for every 1 trillion won in annual operating profit. A Samsung spokesperson said, “Due to the market-driven profit fluctuations in the semiconductor business, Samsung will distribute operating profits evenly for future investments, shareholder returns, and employee compensation.”

Storage chip stocks rally collectively

On Wednesday, in the Asia-Pacific markets, storage chip concept stocks strengthened across the board. By noon, Samsung Electronics and ADI Testing rose over 5%, SK Hynix and Kioxia gained over 4%. Driven by chip stocks, South Korea’s composite index approached a 4% gain.

During trading, A-share storage chip concept stocks also saw significant movements. By midday, Tongyou Technology hit a 20% limit-up, China Electronics Port and Chengbang Shares up 10%, Xicai Testing up over 17%, Shenkeda up over 15%, Langke Technology up over 14%, Dagang Shares nearly 10%, Bawei Storage and Jiangbolong up over 8%, Guoke Micro and Hangjin Technology up over 7%, Fudan Microelectronics, Liyuan Information, and Puran Shares up over 6%.

Recently, Samsung Electronics announced that chip demand is exploding and is seeking multi-year contracts with major clients, with contract durations of three to five years.

On Wednesday, Samsung Electronics Vice Chairman, Co-CEO, and Head of Chip Business Jun Young-hyun said that driven by the global AI wave, the company expects chip demand to remain strong this year, but rising memory chip prices could impact shipments of computers and mobile devices.

KB Securities analyst Jeff Kim recently stated that Samsung Electronics is entering a period of full profit growth, with expectations that all memory chip supplies could be sold out by 2027.

Kim noted that surging demand from AI and limited industry supply growth are expected to keep DRAM and NAND markets tight over the next few years. Major tech companies are increasingly considering signing five-year (up to 2030) supplier agreements to ensure supply. KB Securities raised Samsung’s target stock price by 33% to 320,000 won. Kim also revised up Samsung’s 2026 operating profit estimate by 30% to 220 trillion won and 2027 by 57% to 301 trillion won.

On March 17, South Korea’s SK Group Chairman Chey Tae-won stated at Nvidia’s GTC conference that due to systemic bottlenecks in chip production, the global memory chip shortage is likely to persist until 2030, with supply gaps expected to stay above 20%.

Proofreading: Yang Li-lin