Core Insights - TSMC is shifting its focus towards advanced processes and will gradually outsource some 40-90nm orders to its subsidiary, World Advanced [1][3] - TSMC has announced the suspension of its 6-inch wafer fab in Hsinchu and plans to exit the GaN foundry business within two years, reallocating resources to higher-margin businesses [1][4] Industry Performance - The chemical sector performed well this week, with the Shenwan Chemical Index rising by 3.54%, outperforming the CSI 300 Index by 0.82% [2] - Short-term macro policies are relatively stable, with a focus on three key tracks: growth in terminal industries like robotics and AI, low-valuation cyclical sectors, and actual changes in industry fundamentals such as the lithium battery supply chain [2] Major Events - TSMC's exit from mature processes marks a significant strategic shift, focusing on higher-margin business areas [3][4] - The Dutch government anticipates that Ansem China will soon resume chip supplies, with constructive talks with China [4] - The U.S. government is evaluating military options against Venezuela, including seizing oil fields, leading to a slight increase in WTI crude oil prices [4]

Group 1 - The core viewpoint of the articles highlights the strong performance of the semiconductor sector, particularly the rise of the Sci-Tech Innovation Board Semiconductor Materials and Equipment Index, which increased by 1.96% [1] - Notable stocks such as ShenGong Co. and Jingyi Equipment saw significant gains, with ShenGong Co. hitting the daily limit and Jingyi Equipment rising by 11.07% [1] - The Sci-Tech Semiconductor ETF (588170) experienced a 2.12% increase, marking its third consecutive rise, with a latest price of 1.5 yuan [1] Group 2 - The trading activity of the Sci-Tech Semiconductor ETF (588170) was robust, with a turnover rate of 10.71% and a transaction volume of 426 million yuan, indicating active market participation [1] - Over the past month, the average daily trading volume of the Sci-Tech Semiconductor ETF (588170) was 595 million yuan, leading its peers [1] - The ETF's scale grew by 1.018 billion yuan in the last month, reflecting significant growth [1] Group 3 - NVIDIA's CEO recently visited TSMC for the third time in three months, emphasizing the strong demand for their latest Blackwell chips and the increasing need for TSMC's wafers [1] - The CEO noted that the entire industry is experiencing strong growth, leading to various shortages, particularly in memory chips [1] - Major memory manufacturers like SK Hynix, Samsung, and Micron are expanding production to meet the rising demand [1] Group 4 - According to Open Source Securities, the demand for DRAM in AI servers is approximately eight times that of traditional servers, with NAND usage being three times higher [1] - By 2025, AI is expected to account for 40% of storage demand, with potential for further increases [1] - The tight HDD capacity is accelerating the penetration of SSDs, while traditional DRAM and NAND supply is constrained, necessitating significant expansion by domestic memory manufacturers [1] Group 5 - The Sci-Tech Semiconductor ETF (588170) and its linked funds track the Sci-Tech Innovation Board Semiconductor Materials and Equipment Index, focusing on semiconductor equipment (61%) and materials (23%) [2] - The semiconductor equipment and materials industry is crucial for domestic substitution, characterized by low domestic replacement rates and high ceilings for domestic substitution [2] - The sector is benefiting from the AI revolution, expansion, technology restructuring, and advancements in lithography technology [2]

Group 1: Reusable Rocket Development - China's first liquid reusable rocket, Zhuque-3, is set to make its maiden flight in mid-November, marking a significant milestone in the country's commercial space sector [1][3] - Zhuque-3, developed by Landspace, is the world's first all-stainless steel liquid oxygen-methane rocket, with a length of 66.1 meters and a takeoff weight of approximately 570 tons [1] - The rocket has a low Earth orbit payload capacity of 21.3 tons and is designed for 20 reuses, aiming to reduce launch costs to below 20,000 yuan per kilogram, comparable to SpaceX's Falcon 9 [1] Group 2: Semiconductor Industry Collaboration - NVIDIA CEO Jensen Huang visited TSMC's 3nm production line to negotiate additional capacity for the Blackwell chip, highlighting the strong demand for advanced chips [4][5] - TSMC's current monthly production capacity at the 3nm line is 100,000 wafers, with plans to increase it to 160,000 wafers by 2026, primarily to supply NVIDIA [5] - Huang emphasized the strong demand for Blackwell chips, which include CPUs and networking devices, and confirmed that NVIDIA has requested additional capacity from TSMC [7] Group 3: Import Expo and Economic Cooperation - The 2025 Import Expo Shanghai Conference concluded successfully, attracting over 200 leaders from various sectors and more than 9,000 attendees [8][10] - The conference released over 60 significant outcomes, including reports and indices that reflect the long-term value of the Import Expo [10][11] - The event showcased China's commitment to open cooperation and mutual benefit, contributing to the economic recovery in the Yangtze River Delta region [11] Group 4: Solid-State Battery Industry Advancements - The 2025 Solid-State Battery Industry Annual Conference highlighted key breakthroughs in solid-state battery technology, with major companies like CATL and Ganfeng Lithium announcing production plans [12][13] - Recent research has led to innovations in solid-state battery design, enabling stable cycling at low temperatures and high current densities [12] - The industry is entering a critical phase of commercialization, driven by technological advancements and increased demand from automotive and robotics sectors [13] Group 5: Polyurethane Innovations for Robotics - Wanhua Chemical has received a patent for a high-rebound low-melting-point thermoplastic polyurethane, which could enhance the development of robotic "bionic skin" [14][15] - The patented material meets the core requirements for human-robot interaction, including flexibility, safety, and durability [14] - The market for polyurethane in robotics is expected to exceed 10 billion yuan by 2030, driven by advancements in material performance and cross-industry collaborations [15]

Core Insights - Nvidia's CEO Jensen Huang announced the receipt of advanced memory samples from Samsung Electronics and SK Hynix, indicating strong support for Nvidia's growth in AI chip demand [3][4] - Huang expressed concerns about potential memory supply shortages due to robust business growth across various sectors, suggesting that memory prices may rise depending on operational conditions [3] - TSMC's CEO C.C. Wei acknowledged Nvidia's significant wafer demand, emphasizing the critical role TSMC plays in Nvidia's success [3] Memory Market Dynamics - SK Hynix, Micron, and Samsung are in fierce competition to dominate the HBM4 market, estimated to be worth $100 billion [6] - Micron has begun shipping its next-generation HBM4 memory, claiming record performance and efficiency, with bandwidth exceeding 2.8TB/s [6][7] - SK Hynix has also delivered 12-Hi HBM4 samples to major clients, including Nvidia, and plans to ramp up production [7][8] Future HBM Generations - The latest HBM generation, HBM4, supports bandwidth up to 2TB/s and a maximum of 16 layers of Hi DRAM chips, with a capacity of up to 64GB [10] - Future generations, HBM5 to HBM8, are projected to significantly increase bandwidth and capacity, with HBM8 expected to reach 64TB/s by 2038 [11][12][15] - HBM technology is evolving with new stacking techniques and cooling methods, enhancing performance and efficiency [12][13]

Group 1 - NVIDIA CEO Jensen Huang visited TSMC to request more chips, with the exact quantity being confidential [1] - Huang emphasized the strong and growing business demand for chips, particularly for the Blackwell platform, which includes GPUs, CPUs, network chips, and switches [1] - TSMC's Chairman C.C. Wei confirmed Huang's visit was to encourage and thank TSMC for their hard work in meeting the increasing demand [1] Group 2 - Huang stated that AI is the most important technology of this era, impacting every country and company, and reaffirmed Taiwan's critical role in the global semiconductor manufacturing landscape [2] - Huang mentioned ongoing communication with governments worldwide to help them understand the importance of AI technology and its development [2]

台积电11月8日在新竹县立体育场举办运动会，董事长暨总裁魏哲家说，今天有一点小遗憾，"大家长、 创办人张忠谋身体有一点不舒服，没办法一起来参加运动会"。 张忠谋2018年6月自台积电退休，2019年出席台积电运动会，2020年起，台积电因疫情连续3年停办运动 会，2023年、2024年恢复办理运动会后，张忠谋也都应邀出席，并发表谈话。 今年外界原预料可以看到英伟达CEO黄仁勋、张忠谋、魏哲家同台，但现场座位安排黄仁勋坐在魏哲家 旁，并未预留张忠谋和张淑芬座位，引起媒体关注，魏哲家稍后证实张忠谋身体有一点不舒服，因此没 办法参与。 魏哲家表示，张忠谋相当关心台积电员工，但张忠谋跟夫人张淑芬没办法来参加运动会。魏哲家带领员 工，高喊"创办人我爱你"、"Sophie（张淑芬英文名）我爱你"。 ...

台积电今年缴出亮眼成绩，魏哲家也一如众所期待宣布加发特别奖金。他说凡是5月31日前到职的员 工，职级60~64、20~26、31~33（含副理）的全球员工，每人可拿到2.5万元新台币的特别奖金。他话一 说完，全场尖叫，有员工直呼"双11直接买爆！" 依台积电可持续发展报告书统计，台积电目前全球正职员工有7.5万人。 台积电运动会奖金众所期待加发奖金出炉，董事长魏哲家宣布，由于台积电今年营收和获利都创新高， 今年特别奖金将比去年的2万元新台币增加5000元新台币，到2.5万元新台币，并且世界各地同仁也享受 一样的待遇，估计将有7.5万名员工可领到，总共发出18.75亿元新台币大红包，为历年最大的发放金 额。 魏哲家指出，台积电今年营收、获利再创历史新高，都是同仁们努力的结果，他感谢同仁家属的关怀与 支持，并预告台积电以后每一年营收和获利都会创新高。 ...

Core Viewpoint - The article discusses the recent focus on price-increasing industries, highlighting a shift from financial re-inflation to physical re-inflation, with an emphasis on cyclical industries and essential sectors that are experiencing price increases [1][2]. Group 1: Industry Trends - Recent price increases in essential commodities are attributed to a phenomenon termed "physical re-inflation," with significant attention on cyclical industries such as non-ferrous metals, steel, coal, and petrochemicals [1]. - The market is witnessing a surge in cyclical stocks, driven by expectations of a strong economic cycle in the coming year, particularly in infrastructure projects linked to the five-year planning cycle [2]. - The supply-side constraints due to anti-involution policies are influencing price dynamics, with industries facing greater anti-involution measures showing higher price elasticity [2]. Group 2: Economic Indicators - The Consumer Price Index (CPI) for October rose by 0.2% year-on-year, up from a decline of 0.3% the previous month, indicating a shift in consumer prices [5]. - The Producer Price Index (PPI) showed a month-on-month increase of 0.1%, marking the first rise of the year, although it still reflects a year-on-year decline of 2.1% [8][9]. - The service price growth rate increased from 0.6% to 0.8% year-on-year, driven by seasonal demand and ongoing reforms in medical service pricing [6]. Group 3: Sector Performance - The electric power equipment sector has seen significant capital inflows, with net purchases reaching 483.93 billion yuan, indicating strong market interest [30][31]. - The basic chemical and banking sectors also attracted substantial investments, with net inflows of 216.79 billion yuan and 65.96 billion yuan, respectively [30]. - The storage sector is experiencing price hikes, with NAND flash memory prices increasing by up to 50%, impacting the entire supply chain [10]. Group 4: Future Outlook - The article anticipates continued inflationary pressures from rising commodity prices, although the impact on downstream prices may experience a time lag due to anti-involution measures [9]. - The construction of major infrastructure projects, such as the "Yin Da Ji Min" water diversion project, is expected to stimulate economic growth in the Chengdu Plain economic zone [4].

Core Viewpoint - The article highlights the strong demand for AI-related products and the critical role of TSMC in ensuring chip supply for NVIDIA, emphasizing the deepening relationship between the two companies amid a competitive landscape in the semiconductor industry [1][2][3][4]. Group 1: NVIDIA's Demand and Supply Chain Dynamics - NVIDIA's CEO Jensen Huang visited Taiwan to request increased chip supply from TSMC, indicating the company's robust business performance and the growing demand for its products [2][3]. - Huang's statement, "Without TSMC, there is no NVIDIA," underscores the essential role TSMC plays in NVIDIA's success, particularly in the production of the Blackwell series chips [4][9]. - The demand for NVIDIA's products, including the Blackwell series and rack-level configurations, is immense, with supply capacity being a critical bottleneck [5]. Group 2: TSMC's Manufacturing Capacity - TSMC's advanced manufacturing capabilities are in high demand globally, with CEO C.C. Wei confirming that the company's capacity remains "very tight" [6]. - NVIDIA aims to become a major customer for TSMC's 3nm process, potentially accounting for about 30% of TSMC's total output, amidst competition from rivals like Qualcomm [7][8]. Group 3: Future Revenue Projections - At the GTC conference, Huang projected that NVIDIA could achieve a cumulative revenue of $500 billion from its data center business between 2025 and 2026, significantly exceeding previous market expectations [13][14]. - This revenue visibility is seen as a positive factor for NVIDIA's stock price, with analysts noting that the target surpasses consensus estimates by 12% and Goldman Sachs' own forecast by 10% [14][15].

Core Insights - The rapid growth of artificial intelligence (AI) is driving an increased demand for data centers, which is expected to accelerate in the coming years [1][2] - The global data center market was valued at $347.6 billion in 2022 and is projected to reach $652 billion by 2030, reflecting a compound annual growth rate of 11.2% [2] - Key companies positioned to benefit from this data center build-out include Nvidia, Taiwan Semiconductor Manufacturing Company (TSMC), and ASML [3][16] Nvidia - Nvidia is the leading provider of GPUs, with a market share of approximately 92% in high-end data center GPUs, and has seen its stock price increase by 1,440% over the past three years, achieving a market capitalization of $5 trillion [4][7] - In fiscal Q2 2026, Nvidia reported data center revenue of $41.1 billion, which constituted a significant portion of its total revenue of $46.7 billion, marking a 56% increase year-over-year [5] - The company is also investing in quantum computing partnerships to further enhance its technological capabilities [7] Taiwan Semiconductor Manufacturing Company (TSMC) - TSMC is the world's leading semiconductor fabricator, serving major clients like Nvidia, Apple, and Qualcomm, and is expected to benefit significantly from the demand for advanced GPUs [8] - High-performance computing has become increasingly important for TSMC, rising to 57% of its total revenue from 39% three years ago [10] - A significant portion of TSMC's revenue, 76%, comes from North American companies, which positions it well amid tariff and trade concerns [11] ASML - ASML is the only company that has mastered extreme ultraviolet (EUV) lithography technology, essential for producing advanced semiconductor components [12] - In Q3, ASML sold 66 new lithography machines, maintaining net sales of €7.5 billion ($8.61 billion) year-over-year, with guidance indicating a 15% increase in total net sales for the year [14] - ASML's stock has risen 53% in 2025, reflecting strong market performance [15] Investment Outlook - The increasing demand for data center infrastructure presents significant investment opportunities, particularly in companies like Nvidia, TSMC, and ASML, which are integral to the AI ecosystem [16]