Shares of TIANYU SEMI (02658) surged more than 10% during the morning session. By the midday close, the stock was up 10.22%, trading at HK$49.6 with a turnover of HK$6.5116 million.

The price increase is driven by a wave of industry-wide price hikes for silicon carbide (SiC) products. Infineon initiated its second price increase of the year, marking the first major move in this round, with other international giants like STMicroelectronics following suit closely. Domestic substrate and device manufacturers have also adjusted their prices, signaling the start of a comprehensive price increase cycle for the SiC industry.

Hong Yuan, a senior analyst at industry research firm InSemi Research, confirmed that leading SiC substrate manufacturers, such as SICC and TankeBlue, are currently operating at over 90% capacity utilization.

Public information shows that TIANYU SEMI is the largest self-manufactured SiC epitaxial wafer producer in China and the third largest globally. In February of this year, the company formally entered into a strategic cooperation agreement with South Korea's EYEQ Lab Inc., focusing on the supply and application of SiC epitaxial wafers. EYEQ Lab is a leader in South Korea's third-generation semiconductor SiC power semiconductor sector.

It is noted that TIANYU SEMI previously received investment from Patron, a subsidiary of Samsung. Samsung Electronics is also actively expanding its business in the SiC power semiconductor field and has internally established a new SiC power semiconductor team.