中际旭创20250406

Summary of the Conference Call for Zhongji Xuchuang Company Overview - The conference call pertains to Zhongji Xuchuang, a company involved in the production of optical products, particularly in the context of the global supply chain and tariff implications. Key Points and Arguments Impact of Tariff Policies - Zhongji Xuchuang is actively researching the implications of tariff policies, particularly assessing whether the magnesium content in their products exceeds 20% to determine eligibility for tariff exemptions [3][12] - The company has the capability to fully produce and ship photovoltaic products from its factory in Thailand, effectively mitigating the impact of U.S. tariffs on high-end optical chip procurement [4][5] Supply Chain and Production - Despite ongoing tightness in chip supply, the situation is expected to improve starting in Q2 2025 as the production of silicon optical products increases [4][5] - The company plans to utilize domestic alternatives to stabilize the supply chain and control costs for the domestic market while focusing on production in Thailand for overseas clients [8] Product Demand and Market Trends - The demand for 1.6T products is anticipated to increase in Q2 2025 compared to Q1, with significant volume expected in the second half of the year [6] - Overall demand has decreased compared to the second half of 2024 due to delays in customer demand [6] - The global demand for 800G and 400G optical modules remains strong, with no downward adjustments in expectations for these products [11] Future Projections - The industry anticipates a larger deployment of 1.6T optical modules in 2026, with a corresponding increase in demand for core switch chips in Ethernet switches [4][15] - The growing adoption of AI across various industries is expected to drive further demand for computing power, enhancing the overall market outlook [15] Customer Relations and Agreements - Currently, both the company and its customers are in a wait-and-see mode regarding the sharing of tariffs on exports from Thailand to the U.S., with no changes to existing trade terms [10] - There is a small proportion of customers receiving products outside the U.S., but this is not a significant part of the business [7] Technological Developments - The company is committed to R&D in response to technological advancements, such as the CPU switch technology introduced by Nvidia, which is expected to take time for full market acceptance [13] - The company is evaluating its products for U.S. content to determine potential tariff exemption eligibility, but specific content ratios remain confidential [14] Additional Important Insights - The company is closely monitoring industry trends and customer feedback from major conferences like OFC and GTC to gauge future demand and technological shifts [15] - The overall sentiment in the industry remains positive, with expectations of increased deployment and demand for high-speed optical products in the coming years [15]