Shanghai, Feb 2, 2026, 10:26 CST — Regular session
- Shares dropped roughly 3% in early trading, mirroring a weaker start across Chinese stocks.
- Investors are balancing signs of stronger global chip demand with pressure on wafer prices and steep expansion expenses.
- Attention shifts to this week’s macro data and major tech earnings, both set to reshape risk appetite.
Shares of National Silicon Industry Group’s Shanghai-listed Class A stock (688126.SS) dropped 2.8% to 21.78 yuan by 10:26 a.m., down from yesterday’s close at 22.41 yuan. So far, the stock has traded between 21.61 and 22.26 yuan, according to Investing.com data.
The company is positioned close to the start of the chip supply chain, producing silicon wafers—the circular slices where chips are fabricated—with a product range split between 200mm-and-smaller and 300mm wafers, according to MarketScreener.
This matters since wafer makers usually catch the cycle’s shifts quickly. Even a slight change in orders or pricing often appears right away, especially when customers are cautious about inventory.
Local markets showed volatility. China’s benchmark index started the day in the red, even as certain growth-focused sectors remained resilient. Meanwhile, state media pointed to further declines in precious metals following last week’s steep fall in spot gold and silver.
South Korea’s trade figures over the weekend offered a clear signal. January exports surged 33.9%, with semiconductor shipments soaring 102.7% year-on-year, according to the trade ministry. The boost came from rising memory prices and demand linked to AI servers.
“The surge in chip sales is expected to continue for the time being,” said Park Sang-hyun, an analyst at iM Securities. Industry minister Kim Jung-kwan also cautioned that “uncertainty in the trade environment has increased.” Reuters
A private survey in South Korea signaled stronger demand. The manufacturing PMI, which indicates expansion above 50, climbed to 51.2 in January from 50.1 in December, according to S&P Global data. Trevor Balchin of S&P Global Market Intelligence said, “New product lines, diversification and favourable conditions … will underpin growth.” Reuters
National Silicon Industry is dealing with its own set of challenges. In a filing dated Jan. 15, the company projected a 2025 net loss to shareholders between 1.28 billion and 1.53 billion yuan. It noted that 300mm wafer sales climbed more than 25%, but revenue growth was capped by pricing pressure. Meanwhile, products at 200mm and below saw weaker margins. The company also warned of a potential goodwill impairment linked to subsidiaries like Okmetic Oy and Shanghai New Ao Technology Co Ltd.
Stronger chip end-demand won’t necessarily boost wafer margins. If customers continue to resist price hikes or if demand for phones and other consumer gadgets remains weak, utilisation could fall even as expansion costs climb.
Traders keep an eye on the global scene. A Reuters market wrap flagged a busy week loaded with big-tech earnings and key data that could shift appetite for growth stocks. Investors are zeroed in on how much top firms continue to pour into AI and data centers.
Friday’s U.S. employment report for January, due Feb. 6, is the next key data point. This report frequently moves rate expectations and can sway sentiment in tech-linked stocks worldwide, according to the U.S. Bureau of Labor Statistics schedule.
