1. Market backdrop for China’s storage‑chip sector
On 3 November 2025, the A‑share storage‑chip segment experienced a pronounced rebound after a two‑day decline. According to Wind data, the Wind Storage Index finished the day up 2.69 %. The rally was driven by a surge in investor optimism that the global demand for memory chips has entered a new price‑increasing cycle. Analysts highlighted that recent breakthroughs in domestic DRAM manufacturing—particularly in the Chinese market—have bolstered confidence in the sector’s upside potential.
2. Wuxi Taiji Industry’s (太极实业) performance
2.1 Record‑setting trading day
- Price action – The shares of Wuxi Taiji Industry (ticker 600667) hit the daily limit up, closing at 9.54 CNY after a 10.03 % gain.
- Liquidity – The day’s volume reflected a net inflow of 8.13 billion CNY from large‑block institutional orders, a figure that places the stock in the top tier of liquidity movements across the market.
- Institutional interest – The 龙虎榜 (bid‑ask ladder) data for the day show that the highest net purchase amount was 3.30 billion CNY by Taiji Industrial itself, underscoring a strong institutional mandate to support the company’s valuation.
2.2 Fundamental context
Wuxi Taiji Industry is a Shanghai‑listed information‑technology firm focused on semiconductor and semiconductor equipment engineering services. With a market capitalisation of 19.95 billion CNY, a price‑earnings ratio of 33.99, and a 52‑week high of 9.75 CNY, the stock is positioned within a rapidly growing sub‑sector of the technology industry. Its recent performance aligns with the broader trend of storage‑chip stocks rallying in response to global price pressures and domestic innovation milestones.
3. Drivers behind the sector’s rally
| Driver | Explanation |
|---|---|
| Global price cycle | Major players such as TSMC and Samsung have announced 3 %–10 % price increases for advanced process nodes, signalling a tightening supply‑demand balance that lifts the entire memory ecosystem. |
| Domestic DRAM breakthroughs | Chinese companies have achieved significant advances in DRAM production technology, reducing reliance on overseas fabrication and improving cost competitiveness. |
| Institutional flow | The presence of institutional buy‑side support—evidenced by the net inflow figures for Taiji Industrial—suggests that large funds view the company as a key beneficiary of the memory market’s upside. |
4. Implications for investors
Investors observing Wuxi Taiji Industry should note that the company’s recent limit‑up reflects a broader confidence in the Chinese storage‑chip industry’s trajectory. The combination of a robust market backdrop, institutional commitment, and the firm’s solid fundamentals (e.g., a healthy PE ratio and sizeable market cap) positions it as a potentially attractive component of a technology‑focused portfolio. Continued monitoring of global price movements and domestic manufacturing developments will be critical to assess the sustainability of this rally.
