China's CXMT, which completed a record initial public offering, is in early discussions to build a second memory chip plant in Beijing.

The memory semiconductor market is currently dominated by Samsung, Micron and SK hynix, which together hold the majority of global capacity. US export controls restrict China's access to advanced equipment and chips, prompting a government effort to develop domestic production capabilities.

CXMT has been reported to be evaluating the Beijing facility before its IPO, according to a Reuters report. The company is seeking support from the Beijing Economic-Technological Development Area. While the firm aims to produce LPDDR6 memory, its primary market remains China's domestic customers, and its ability to compete globally is constrained by sanctions. Prior reports indicated that CXMT's chips may be of interest to Apple, which has faced supply constraints due to the global memory shortage.

The outcome of CXMT's potential expansion remains uncertain as the company continues to navigate regulatory and technical challenges.